Rumors began to circulate that the reason behind the shutdown of Solana-based DeFi project Friktion was a disagreement between the founders.
The company’s announcement of ending the Solana-based project was announced as costs exceeding revenues, but the latest rumors indicate that this is not the case.
What is the Main Reason for DeFi Project Friktion’s Termination?
Friktion, a project that offers high returns for Solana-based decentralized finance (DeFi) investors, was recently terminated. The reason for the termination decision, which was announced by the team in a blog post last Thursday, was explained as high costs and low returns.
For those who are familiar with the subject, the reason behind the decision to close is different. Sources say the main reason the project ended was due to disagreements between the founders.
Alex Wlezien, the team’s chief technology officer, described the decision as an inevitable consequence of Sam Bankman-Fried’s market crash of the FTX exchange in November.
After FTX’s bankruptcy, Solana also went through tough times. Solana cryptocurrency took serious blows and drifted from support levels to new lows. Today, we can say that Solana has started to find some strength again, but the upcoming period will show where the ecosystem can go.