On surface level proposal makes sense, however, if passed, it might set a dangerous precedent as there is no framework to govern this activity, yet, we all know, that cases like this are plentiful. Without a proper research ramifications to the protocol are simply unknowable. I see several possible risks here:
- Without a clear framework Lido DAO can be heavily throttled by inflow of hack reimbursement proposals.
- In case of reimbursement DAO needs to be an arbitrary judge of what is legal/illegals activity for other protocols which is way beyond it’s usual capacity and might bring an unpredictable legal risks.
- What about other MEV manipulations and their status?