Nima Capital dumps SYN tokens, shakes DeFi trust foundations

TL;DR Breakdown

  • Nima Capital dumped over 9 million SYN tokens, causing a 20% drop in the token’s value.
  • Etherscan records show a transfer of 10 million SYN tokens from Synapse.
  • Nima Capital’s website went offline, and its social media account was closed, signaling a clear break from its commitment to Synapse.

Description

Nima Capital, a long-term financing partner of the Synapse cross-chain bridge, dumped over 9 million SYN tokens. The move sent the token’s value plummeting by 20%, hitting a multi-week low of $0.30. The firm also withdrew all stablecoin liquidity from the bridge. Later in the day, the token recovered slightly, settling above $0.35. Synapse X, … Read more

Nima Capital, a long-term financing partner of the Synapse cross-chain bridge, dumped over 9 million SYN tokens. The move sent the token’s value plummeting by 20%, hitting a multi-week low of $0.30. The firm also withdrew all stablecoin liquidity from the bridge. Later in the day, the token recovered slightly, settling above $0.35.

Synapse X, the official account of the project, confirmed the liquidity rug but clarified that the network itself was uncompromised. The incident has raised eyebrows, especially since Nima Capital had previously agreed to invest $40 million in SYN tokens. In return, they received a grant from the project.

According to Etherscan records, the “Synapse: Executor 2” wallet had transferred 10 million SYN tokens to an unnamed entity on April 5. The tokens, worth $3.45 million at current prices, were then dumped on the market. This move came just eight months before the project’s approved governance plan was implemented.

Adding to the intrigue, Nima Capital’s website went offline. The firm also closed its X account, which was formerly on Twitter. These actions have made it abundantly clear that Nima Capital has pulled the rug on its commitment to the Synapse project.

In the decentralized finance (DeFi) ecosystem, “rug pulls” are not uncommon. Typically, they occur when a project’s founders or developers alter the code or shut down the project after the token price reaches a certain level. However, it’s rare for a venture capital firm to engage in such practices.

The Synapse bridge is part of the broader DeFi landscape, allowing cross-chain transactions. Exploiters often target these bridges. Some of the most significant DeFi attacks have happened on similar platforms. Yet, the Synapse bridge remains secure, as confirmed by the project’s official account.

The incident serves as a cautionary tale for investors and projects alike. It underscores the need for due diligence and transparent governance, particularly in the rapidly evolving DeFi space. While the Synapse project has weathered this storm, the actions of Nima Capital serve as a stark reminder of the risks involved in decentralized finance.

Nima Capital’s abrupt exit and token dump have left the Synapse community reeling, but resilient. The project continues to operate, and its network remains uncompromised. However, the incident has cast a shadow over venture capital involvement in DeFi projects, prompting calls for increased scrutiny and regulation.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decision.

文章来源于互联网:Nima Capital dumps SYN tokens, shakes DeFi trust foundations

Disclaimers:

1. You are solely responsible for your investment decisions and this info is not liable for any losses you may incur.

2. The copyright of this article belongs to the writer, it represents the writer's opinions only, not represents the site's ones. Not financial advice.

Previous 2023年9月6日 03:17
Next 2023年9月6日 07:04

Related articles

  • What China’s president and Bill Gates talked about at their meeting

    TL;DR Breakdown Microsoft co-founder Bill Gates recently met China’s President Xi Jinping, indicating a thawing of geopolitical tensions. The meeting preceded U.S. Secretary of State Antony Blinken’s visit, underlining the importance of personal diplomacy in U.S.-China relations. Gates’ interaction with Xi, in his capacity as a philanthropist, highlighted the role of the Gates Foundation in tackling global health issues in China. Description In a renewed show of diplomacy, Microsoft co-founder and philanthropist Bill Gates recently had a meeting with China’s President Xi Jinping. This meeting held immense significance, marking one of the first face-to-face interactions between a U.S. business icon and China’s top leadership amidst the backdrop of escalating geopolitical tension. Power lunch: Resurgence of US-China diplomacy … Read more In a renewed show of diplomacy, Microsoft co-founder and philanthropist Bill Gates recently had a meeting with China’s President Xi Jinping. This meeting held immense significance, marking one of the first face-to-face interactions between a U.S. business icon and China’s top leadership amidst the backdrop of escalating geopolitical tension. Power lunch: Resurgence of US-China diplomacy Gates, in his capacity as…

    Article 2023年6月20日
  • Beijing plans to train 10,000 talents annually in blockchain, AI, and other digital technologies

    TL;DR Breakdown Beijing’s municipal government has unveiled an ambitious plan to annually train 10,000 talents in emerging tech sectors, including AI, blockchain, and big data, aiming to become a leading player in the global digital landscape. The initiative also involves revamping the talent evaluation system, creating “chief data officer” roles, advanced training programs for corporate managers, and digital skills enhancement for the industrial workforce. The plan includes provisions for new talent assessment methods in the digital economy, proposing a professional title evaluation major and a technical-level assessment based on national occupational standards. Description In an unprecedented move set to redefine the digital landscape, Beijing’s municipal government has announced its ambitious initiative to train 10,000 engineering talents in emerging technologies annually. Revealed in a government document by the Beijing Municipal Human Resources and Social Security Bureau, the tech talents will specialize in burgeoning sectors, including blockchain, artificial intelligence (AI), … Read more In an unprecedented move set to redefine the digital landscape, Beijing’s municipal government has announced its ambitious initiative to train 10,000 engineering talents in emerging technologies annually. Revealed in…

    Article 2023年7月18日
  • Binance Australia’s head is optimistic about crypto regulation

    TL;DR Breakdown Ben Rose, Binance Australia’s General Manager, is optimistic about the future of crypto regulations in Australia despite current challenges. Binance Australia faced issues when traditional banking entities pulled their support, citing concerns over scams and frauds. The exchange is focused on restoring its banking ties and reintroducing fiat ramp services for its Australian users. Description In the midst of turbulence in the crypto sector, a silver lining emerges from Down Under. Ben Rose, the General Manager of Binance Australia, displays an unwavering optimism regarding Australia’s impending regulations on digital assets. While the crypto world has faced challenges from both the financial and regulatory sectors, Rose remains steadfast in his belief … Read more In the midst of turbulence in the crypto sector, a silver lining emerges from Down Under. Ben Rose, the General Manager of Binance Australia, displays an unwavering optimism regarding Australia’s impending regulations on digital assets. While the crypto world has faced challenges from both the financial and regulatory sectors, Rose remains steadfast in his belief that the tides will turn in favor of the crypto…

    Article 2023年9月2日
  • Putin doesn’t want to see Macron at the BRICS summit

    TL;DR Breakdown Russia’s president Vladimir Putin has expressed strong opposition to French President Emmanuel Macron’s interest in attending the upcoming BRICS summit. Deputy Foreign Minister Sergey Ryabkov deems Macron’s attendance as ‘inappropriate’, given France’s endorsement of sanctions against Russia. Russia’s standpoint has been communicated to South Africa, the host of the summit, expecting its viewpoint to be accepted. Description As the global political sphere prepares for the upcoming BRICS summit, an unexpected cloud has cast its shadow over the event. French President Emmanuel Macron’s interest in attending the forum has stirred the proverbial hornet’s nest, with Russia’s president Vladimir Putin vehemently opposing the idea. The prevailing sentiment within the Russian political echelon is one … Read more As the global political sphere prepares for the upcoming BRICS summit, an unexpected cloud has cast its shadow over the event. French President Emmanuel Macron’s interest in attending the forum has stirred the proverbial hornet’s nest, with Russia’s president Vladimir Putin vehemently opposing the idea. The prevailing sentiment within the Russian political echelon is one of disapproval concerning Macron’s attendance, epitomized by Russia’s…

    Article 2023年6月25日
  • South Korean crypto exchanges required to hold $2.3 million in reserves amid regulatory overhaul

    TL;DR Breakdown South Korean cryptocurrency exchanges will be required to hold at least $2.3 million in reserves starting September as part of new guidelines aimed at consumer protection. The Financial Services Commission (FSC) and the Bank of Korea have been granted authority to supervise crypto operators following the passage of 19 crypto-related bills in June. Last month, the Korea Financial Intelligence Unit (KoFIU) intensified efforts to strengthen compliance among virtual asset service providers amid a surge in crypto-related crimes. Description Starting in September, South Korean cryptocurrency exchanges will be mandated to set aside at least 3 billion won ($2.3 million) in reserves, according to guidelines released by the Korea Federation of Banks. According to local media outlet News1  today, this move is part of South Korea’s broader strategy to bolster consumer protection measures in the … Read more Starting in September, South Korean cryptocurrency exchanges will be mandated to set aside at least 3 billion won ($2.3 million) in reserves, according to guidelines released by the Korea Federation of Banks. According to local media outlet News1  today, this move is…

    Article 2023年8月29日
TOP