Do you think you haven't compromised?
Make excuses and warn everyone that it's the worst website.
Prevent others from being harmed.
Well, I think $100 Is Better Than Nothing. What will happen now to warn people? Since they have changed their TOS. And They Willing to Pay Maximum $100 From Faucet. I think you are successful. If your main purpose is to warn people. Because after this incident of yours, they have been forced to change the withdrawal limit.
First of all they updated their ToS after this case means the site still owe that money to player and now trying to hide under their new terms with $100 rewards for $7000? Which is unfair though just pay the user and avoid these kind of mistakes in the future is the wise option because this one wrong move can completely ruin their business on bitcointalk.