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HomeTechnologyAndre Cronje in full support of Solidly exchange, denies flaw in security

Andre Cronje in full support of Solidly exchange, denies flaw in security

On February 27, Andre Cronje denied accusations that a flaw in his new DeFi project, Solidly, might have caused user funds to vanish from liquidity pools. After many users reported a security issue in the Solidly Exchange, smart contracts caused their money to disappear from liquidity pools. Andre Cronje, the well-known DeFi architect who created Yearn Finance and Keep3rV1, informed us that “there are zero funds disappearing” from Solidly’s liquidity pools. “No smart contract issues have been detected in any of the active contracts,” he added.

In an interview Andre Cronje says that’s the only thing that’s happened, and adding to that he says it’s because people didn’t confirm their output. They then trade through pools with minimal liquidity. This is not a loss of liquidity pool funds. This is just users trading on pairings with no liquidity, which has nothing to do with the protocol. “

On February 24, 2019, Solidly was formally released as an automated market maker (AMM) on the Fantom blockchain, a mechanism that allows traders to trade in the absence of an order book as a source of liquidity. Cronje intends to establish a token ecosystem that is more efficient, pays 100% of fees to those who lock their assets, and is more sustainable over time. Cronje believes that this should not be rewarded. Incentives must instead be provided to users who have locked their tokens. These tokens provide voting power, and the more governance tokens a protocol possesses, the more control it possesses over a certain protocol. Liquidity providers are compensated in the form of a token known as SOLID.

According to statistics, Solidly has amassed more than 2.24 billion in total value locked up — essentially the complete quantity of assets now handled under the protocol. While the introduction of Solidly “has been laced with a mixture of good and bad highlights,” 

Brian Pasfield, chief technical officer of decentralised money market Fringe Finance, stated that the issue was not surprising. He stated that the latest reports demonstrates that security is and should be DeFi’s top concern. We can and should offer amazing profit opportunities, but never at the expense of the finances of our consumers.

 

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Vaishali Goel
Technology enthusiast, explorer and academic scholar. Currently exploring the crypto world. Join me in my journey to see how crypto, NFT and Metaverse will change the world.
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