Optimism Token Prices Slide 7% Ahead of $580M OP Unlock, Doubling Token Supply
Jade Protocol, a decentralized autonomous organization (DAO) that sources early-stage crypto deals, is facing calls to liquidate its $31 million treasury and issue redemptions to token-holders. The proposal was made by a longtime member of the community, who cited darkening regulatory skies and a brutal crypto winter as reasons for the dissolution. The DAO's native token, JADE, has surged in response to the proposal. Some investors have been joining Jade, according to a statement in the Discord server from Jade's press liaison Jon Ray. However, the dissolution proposal does not appear to be the doing of these activist investors. Instead, it is being driven by a longtime member who is concerned about the investment risk posed by the DAO. The community will now decide the future of Jade Protocol. If the dissolution is approved, a $2 million legal defense fund will be established to help core contributors wind down the DAO.Aerodrome, a product by Velodrome in collaboration with Base developers, has attracted over $150 million from users just a day after going live on Base. The platform hopes to act as a 'business development protocol' for the Base ecosystem, supporting projects as they launch, onboarding new projects and tokens, and generating liquidity for the ecosystem. Aerodrome rewards its AERO tokens to platform users who provide liquidity, conduct swaps, or participate in governance. The platform's creators hope to emulate the apparent success of Velodrome, one of Optimism network's most used platforms which holds over $288 million in locked value. The approach seems to be working so far, with Velodrome generating platform revenues of over $3 million in the past month. Aerodrome's features create a flywheel of liquidity, as users are attracted to rewards, purchase more AERO, and keep the platform running by continually voting on which project's tokens to support, add, and further reward. The platform's locked veAERO are represented as NFTs, which can then be traded on different NFT marketplaces. Users can use the veAERO tokens to take part in platform governance and help set the reward levels of trading pools offered on the platform. In return, these voters receive 100% of all fees and bribes received by the specific pools that they voted for.Investors in the Hector Network, a stablecoin project, are demanding that the group's leaders kill it faster after the project suffered major losses from the Multichain bridge's collapse. The community is angry over the timeline for liquidation, which could take six to twelve months, and the fact that the project's remaining $16 million treasury may be whittled away by legal fees and other expenses. The situation highlights the messiness of operating a decentralized autonomous organization (DAO) and the complexity of unwinding such a project. The article also mentions that the DAO never approved the creation of a corporation, and that the project's leaders plan to proceed with liquidation in the British Virgin Islands. The community is crying foul over the lack of transparency and the fact that they were bamboozled. The article quotes a former employee of the group and a prominent figure in the Hector community, who say that the project's ambitions were too broad and that infighting and delays drained the treasury. The article also mentions that investors had identified Hector as a risk-free value trade and that some had already been pushing for a rage quit before the announcement of liquidation.