Another DeFi Project, Hundred Finance, Shuts Down Following a Vote
Hundred Finance, a multi-chain leading protocol on Optimism, has announced its shutdown after a special vote. The poll, which started on July 26, asked whether the project should end its lending services and compensate those affected by a recent hack. The vote concluded on August 9, with 99.07% in favor of shutting down Hundred Finance.
Key Points:
- The project acknowledges that current assets are insufficient to fully compensate the impacted users.
- An allocation plan has been proposed to distribute funds directly to the affected individuals.
- The protocol was attacked in April, resulting in a loss of $7.4 million.
- A flash loan attack was identified as the method used in the hack.
- Three DeFi protocols, including Saddle Finance and SpiritSwap, have recently announced their closures.
Is DeFi Shaken?
In just three days, three DeFi protocols have announced their closure. Saddle Finance, a promising Ethereum-based AMM protocol, has decided to cease operations and compensate investors. SpiritSwap, one of the first native DEX AMM exchanges on Fantom, has also announced its dissolution following a hack.
Hot Take
The closure of multiple DeFi projects raises concerns about the security and viability of the DeFi landscape. Despite its potential to revolutionize finance, DeFi still faces challenges such as hacks, government scrutiny, and competition from traditional finance. Security measures must be improved to ensure the long-term success of DeFi.
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