Solana-Based Everlend Finance Shuts Down Its App

Solana (SOL)-based DeFi project Everlend Finance has announced that it will shut down its platform and users must withdraw their assets.

solan ( LEFT) based DeFi project Everland Financeannounced that it will be shutting down its platform and users should withdraw their assets.

Everland FinanceThe Solana-based team announced on Feb. DeFi announced that the loan protocol has closed the application platform despite having sufficient facilities to continue operating in the current business environment. The Everlend team set up the platform to only handle withdrawals, and users were asked to withdraw their assets.

In the announcement, it was stated that the application will continue to work until all withdrawals are completed. The team also outlined plans to meet all raised and unused funds over the next two weeks.

DeFi Credit Institution Friktion Also Ended Its Application

The Everlend team said it will open source the codebase so others can continue to build solutions using the Everlend technology stack. Everlend attributed the decision to close to the liquidity crunch faced by participants giving DeFi loans. The team stated that continuing to work under these conditions would be no different from gambling.

According to DeFiLlama Everland At the height of its power, it controlled almost $400,000 worth of locked assets. This number, It dropped significantly in November following the FTX crisis.

Another witherbased DeFiwith a revenue platform Friction, citing the numerous challenges facing the crypto ecosystem, terminated its implementation in January.

Founded in 2021, Everlend had previously raised funds from backers such as Serum, Everstake Capital and GSR. The Ukrainian lending platform had plans to switch to a community-controlled DAO in the first quarter of 2023.