- Andre Cronje says the recent Multichain exploit is a big blow to the blockchain space.
- According to Cronje, users trusted the Multichain team’s assurances in error.
- Conje is working in collaboration with relevant organizations to recover assets.
Andre Cronje, a renowned blockchain developer popularly known for creating Yearn Finance and Keep3rV1, considers the recent Multichain exploit a big blow to the blockchain space. Cronje explained during an AMA session that there were a lot of assurances from the team behind the project. He insinuated that users trusted the team’s assurances around the server decentralization, access, and geolocation distribution.
Cronje noted that, in the aftermath of the exploit, he is working in collaboration with relevant organizations to recover assets, noting that they are exploring all available options.
Cronje’s statement was a response to a participant in an infinite AMA who asked him to elaborate on why Binance, Tether, Circle, and other establishments think Fantom is a scam. The participant also inquired if the native stablecoin work is being expedited, as introducing such could reduce dependency on the more vulnerable bridge partners.
Cronje further explained that beyond working to rover assets, they are looking into other backstops or helping the recovery, even with using foundation treasury. He noted that there can only be confirmations when they can gather sufficient data. However, Cronje assured that they are not giving up on the process but will do everything in their power to “make everyone whole”.
As part of their efforts, Cronje noted that he and his team are engaging with Circle, Tether, TrueUSD, Binance, and other relevant establishments for native issuance and reviewing rollups for native bridge infrastructure. Cronje assured they would propose an action plan after gathering more verifiable information.
On July 6, Multichain Protocol announced a temporary pause in operations following an outflow of over $125 million from several wallets. The Fantom Bridge reportedly faced the largest exploit of $122 million in wBTC, USDC, USDT, and other altcoins.
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