- The Cardano-based decentralized finance project and stable coin ecosystem, Ardana has suspended the development quoting project schedule unpredictability and funding problems.
- The suspension is done on November 24.
According to Ardana Labs, the project will carry on to be an open source for creators. Although, treasury balances and residual funds will be kept by Ardana Labs till another qualified dev team in the community steps forward to take on our work.
Ardana Labs was only a year into its growth and has generated $10 million in 2021 through a funding round directed by now-bankrupt crypto hedge fund Three Arrows Capital (3AC). Other investors added Ascensive Assets and Cardano’s cFund.
Furthermore, Ardana Labs was also spending its time and energy on stablecoin minting and foreign exchange reserves. The platform craved to be “the MakerDAO and the Curve Finance of Cardano”. Ardana Labs took to Twitter to post that:
“Growth on Cardano has been problematic with much funding going into tooling, infrastructure, and security. This, besides the unpredictability around the growth completion, has resulted in the best course of action being suspending the growth of dUSD. We want to say a thank you to all of you for your support all over our growth. We will carry on to be indulged in the Cardano community.”
DANA on decline
Just after the news was publicized by Ardana Labs, the value of its native cryptocurrency DANA smashed by a lurching 80% in the past one day. The value of DANA has been on a downfall in the past year in between falling Cardano staking yields because of the continuing crypto winter.
The unexpected judgment from Ardana Labs has come as a significant blow to the crypto community. At the beginning of this year in January, Ardana Labs purported that “about all of the product/smart contract update is done. We could introduce our products in the coming few weeks if we wished so.” Although, they can not do it because of Cardano Network’s “liquidation problems” and “danger to users’ funds.”
To put the money into its functions, Ardana also kept a continuing original stake pool of proposals or ISPO from July 4. Although, it looks like Ardana has been pretty victorious in its efforts. Few crypto community members have accused Ardana of the complete event. An unknown user, Lucid states:
“Sounds like you are accusing Cardano of your own absence of motivation and dedication. You decided to create here for a reason and now you are not fulfilling it. Others such as Axo will come in and take all the renown.”
Source: https://www.thecoinrepublic.com/2022/11/28/ardana-suspends-growth-quoting-funding-issues/