The “big gold master” Three Arrows Capital itself can’t protect the Cardano stablecoin project and announced the closure

With Three Arrows Capital (Three Arrows Capital), the former largest funder, unable to protect itself, Ardana, the top DeFi and stablecoin ecosystem based on Cardano (ADA), suddenly announced on November 24 that it would stop development and operations on the grounds that “funding and project schedule uncertainty”.

Ardana said the project code will remain open source to builders, while the remaining funds will be held by Ardana Labs “until another capable development team comes forward and continues our work.” The Ardana team continued:

The development of Cardano has been difficult due to the huge cost of tool preparation, infrastructure and security. Coupled with the uncertainty of development completion, the best solution now is to stop developing dUSD.

Ardana is a decentralized exchange stablecoin liquidity mining pool and on-chain asset-backed stablecoin protocol based on Cardano. It has only been developed for one year so far. The team also claimed in January that “almost all products and smart contract development are It has been completed”, and now it is closed without warning, which is really embarrassing.

Still, Ardana’s operational difficulties appear to have been going on for some time. Beginning July 4th, Ardana launched a months-long Initial Stake Pool Offering (ISPO) to secure working capital. Different from traditional fundraising mechanisms, developers will not receive ADA entrusted by users, but will be rewarded by pledge and provide native DANA tokens as rewards to encourage users to continue entrusting.

Unfortunately, however, ISPO issuers have been hit hard by the simultaneous plunge in DANA and ADA coin prices, as well as the prolonged bear market that has led to a drop in Cardano staking yields. Ardana’s native token, DANA, has lost nearly 99.85% of its value over the past year.

In January of this year, Ardana claimed that “almost all product, smart contract development is complete. We can launch the product within a few weeks”, and blamed the delay on the Cardano network’s “liquidation problem” and “user fund risk”.

In response to the sudden closure of Ardana, Cardano founder Charles Hoskinson admitted that even he himself suffered from it.

Charles Hoskinson pointed out that since he was an investor in Cardano’s early investment fund cFund, “I just lost $500,000” with Ardana’s stillbirth.

It is worth noting that Ardana completed its first round of financing of US$10 million last year, and investors include Three Arrows Capital (Three Arrows Capital), cFund and Ascensive Assets.

This article “Big Funder” Three Arrows Capital itself can’t guarantee that the Cardano stablecoin project announced the closure first appeared in the blockchain.

Source of information: Compiled from BLOCKCAST by 0x Information.The copyright belongs to the author Mel, without permission, shall not be reproduced

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