Qubit to be taken over by DAO after losing $80 million

by in Cryptocurrency News

DAO

The development team behind the DeFi protocols Qubit Finance and Bunny Finance has announced that it will transfer project management to a DAO.

At the end of January, an unknown person withdrew digital assets worth about $80 million from the Qubit pool. According to the statement, the team invested about $10 million in the protocol, which accounted for the entire operating capital.

“Due to the horrific incident, it has become impossible to support the overgrown development team. As a result, the Bunny and Qubit protocols, which were primarily led by her, will be managed by the DAO,” the blog reads.

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In addition to transferring project management to the community, developers will make changes to the structure of commissions and rewards, close the markets affected by the hack. Bunny vaults will stop issuing BUNNY tokens.

The team promised to compensate users for losses. All assets belonging to her will be blocked in smart contracts controlled by the community. The income received will be transferred to the compensation pool.

“This means that all fees and protocol reserves will be distributed to the respective users for compensation, and any further profit will no longer be shared with the team,” the developers said.