Ok so the real question here is,
do we buy into REP, ETH, FCT, XMR and the other coins that are getting dumped?
Which will bounce back and which will take a permanent loss due to their reputation being permanently damaged?
I dont understand your logic.
Someone who own a coins did not secured them enough and lose them. What this has to do with cryptocoin reputation? This only give reputation to this person who lost coins and you would rather avoid him to store your coins.