Bunni DEX cited financial conditions as the reason for the closure.

Published on:

Decentralized exchange Bunni announced it was shutting down following an $8.4 million exploit in September and is now the second crypto project team to throw in the towel this week.

On Thursday postthe band announced that it would cease operations due to lack of funds.

“The recent exploit forced Bunni to halt development and to safely resume operations we would have to pay 6-7 figures in audit and monitoring expenses alone, which would require capital that we simply do not have,” they said.

The panel concluded that it did not have significant funding to cover development costs and other expenses necessary to get the protocol back on track.

Bunni’s shutdown comes days after the founding team behind layer 1 blockchain, Kadena, said it would cease operations due to hard market conditions.

Source: Brown

Bunni DEX operated in September

The protocol was leveraged on September 2 and raised $8.4 million across the Ethereum network and Unichain’s Layer 2 network. Then the activity was suspended.

On the blog from September 4 postBunni said that malicious actors exploited the protocol’s code base.

Bunni DEX was built on Uniswap v4 to optimize returns for liquidity providers by leveraging a custom mechanism called the liquidity distribution function.

Before the exploit, Bunni was growing at an exponential rate as TVL skyrocketed from $2.23 million on June 10 to nearly $80 million on August 19. According to to DefiLlam.

Open code sharing

Despite discontinuing operations, the team relicensed the Bunni v2 intelligent contracts from a Business Source license to an MIT license, which is an open source software license, to some acclaim from the community.

This will enable any developer to benefit from all the features and innovations developed by Bunni, such as liquidity distribution features, cost escalation fees and autonomous rebalancing.

The team also stated that users will be able to withdraw their assets via the website until further notice. Moreover, the remaining treasury assets will be transferred to holders of BUNNI, LIT and veBUNNI tokens after receiving the necessary legal approval; however, team members will not receive any funds.

The team said it will continue to work with law enforcement to recover the $8.4 million stolen by malicious actors.

Kadena’s founding team is leaving

On Tuesday, the founding team of Layer 1 blockchain Kadena announced that it would go out of business and cease all network operations.

Related: Bitcoin could reach “final color” up to 104k. dollars before the boom returns

The team cited hard market conditions as the reason for closing the store. Despite the founding team stepping down, the network will continue to exist and be community-led.

However, the network’s native token KDA has crashed 70% since its announcement and is currently trading at $0.06. According to this CoinGecko.

Warehouse: Cliff Bought 2 Houses with Bitcoin Mortgages: Intelligent… or Crazy?

Related

Leave a Reply

Please enter your comment!
Please enter your name here