The post Yeti Finance Announces Plan To Shut Down Operations appeared on BitcoinEthereumNews.com.

  Yeti Finance, a prominent protocol in the Avalanche ecosystem, has announced its plan to shut down operations.  The announcement comes as a significant development in the DeFi space and impacts trove owners, token holders, and the broader community.  The decision to cease operations was not taken lightly and is a result of various challenges faced by the protocol over the past year. The Journey And Challenges Of Yeti Finance From its inception, Yeti Finance’s primary goal was to establish itself as the leading protocol for borrowing against a diverse portfolio of assets on Avalanche.  The team behind Yeti Finance has always been committed to the vision, with the founders not selling any of their tokens and prioritizing security above all else.  However, the past year has been challenging for Yeti Finance, with a significant drop in Total Value Locked (TVL) and revenue, leading to downsizing and budget cuts. The crypto industry has faced turbulent times, marked by black swan events and targeted hacks becoming increasingly common.  With limited resources at their disposal, the Yeti Finance team focused on maximizing protocol security to protect user funds and establish themselves as a trusted leader in borrowing.  Despite achieving the goal, the protocol did not reach the scale necessary for long-term sustainability. See Also: Ondo Foundation To Unlock And Release ONDO Token Soon Deciding To Wind Down A series of unexpected events further complicated the situation for Yeti Finance. A notable issue was the concentration of YUSD holdings among a small group of users, posing a risk of major redemptions at any time.  These complex challenges, coupled with the risky nature of introducing new features and expanding under such conditions, led the team to the difficult decision that winding down the protocol was the most responsible course of action. As part of…

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Filed under: News - @ December 29, 2023 3:12 am