Crypto News

Yearn Finance Founder Blames Social Actors for Role in the EMN Token Hack

Yearn Finance Founder Blames Social Actors for Role in the EMN Token Hack

Yearn Finance founder Andre Cronje suggests he did not mishandle the Eminence (EMN) project’s economic exploit, which he insists functions well. He accuses certain social actors of creating a story around EMN that caused rational actors to jump onto the token. Cronje’s comments follow reports that a group of defi community members planning to sue the smart contract builder whom they say is culpable in the $15 million EMN token hack.

Cronje Says He Is Not Infallible

In a post on Medium, Cronje who has vowed not to use his Twitter account, talks of his role and the journey which he says has had both failures and successes. In what may seem like an attempt to absolve himself, Cronje writes:

“I’ve been wrong more times than I’ve been right, I’ve failed more times than I’ve succeeded. I’ve had conceptual ideas that failed in practice. I do not build to make a number go up.” Cronje appears to lament the involvement of speculators and how this distracts from the main objectives of building useful tools.

The Yearn founder then claims that Defi tokens are not the same as stocks. He says although “people treat them like stocks, in Defi, tokens are a coordination mechanism.” He says possession of tokens should signal that one “wants to become a contributor and not a bystander.”

Speculators Ruining Defi

Meanwhile, Cronje also clarifies that the apparent distinction between a team (devs) and the community, which he says is the source of friction, should not exist.

“There is no separation, they are one and the same,” elaborates Cronje who now says he did not create Yearn.

The Yearn founder then briefly zeroes in on the botched EMN token whose code he says “functioned as designed.”

Defending himself further, Cronje explains:

“The contracts went through my normal testing cycles and were at stage 5, on that day alone I had deployed ~2 different versions. LBI is working as intended, it still is, and I am still using it to create a real-world example of how such templates function.”

Instead, the Yearn founder blames people that confuse price with functionality. He points to LBI as the perfect example where “people bought it off Uniswap, inflating the price, something that a rational actor that understood how the system worked should never have done.”

Liquidity Income (LBI) is Cronje’s latest experiment that was rolled out on October 13 as an “unfinished product meant for research purposes.”

Despite the warnings and the fact that Cronje did not use a Twitter account to announce the latest experiment, users still deposited ETH into this unaudited contract. It is on this basis that Cronje attempts to exonerate himself from the actions of irrational actors although he admits he was “naive.”

Balancing Between Developers and Ordinary Users

Meanwhile, Cronje’s remarks about tokens being different from stocks appear to be getting support from others within the defi community. One of those concurring with Cronje is Daniel Dabek whose organization Safex.org, launched a token in 2015 which is “used to become a member of a decentralized board of trade.” From the small amount initially raised ($50,000), the Dabek says they “evolved over these years into an entire blockchain network from scratch.”

Still, just like Cronje who sees a “conflict in the space” Dabek also speaks of the challenges faced when trying to balance between getting people interested and building tools:

“It is one thing to make the tools, another to put them in people’s hands to be empowered.”

Meanwhile, besides attempting to clear his name, Cronje does not directly address reports of the impending lawsuit. Instead, he says he will continue to build.

What do you think of Andre Cronje’s comments? Share your views in the comments section below.

The post Yearn Finance Founder Blames Social Actors for Role in the EMN Token Hack appeared first on Bitcoin News.

How useful was this post?

Click on a star to rate it!

As you found this post useful...

Follow us on social media!

0 Comments
Inline Feedbacks
View all comments

Related Crypto News

Yearn Finance Founder Blames Social Actors for Role in the EMN Token Hack
Yearn Finance founder Andre Cronje suggests he did not mishandle the Eminence (EMN) project’s economic exploit, which he insists...
Analyst Who Predicted V-Shaped Reversal Thinks Bitcoin Will Hit $12k
Bitcoin has faced a slight reversal since the highs of $11,750 set a number of days ago. The coin...
Cashfusion Use Increased by 328%, $200M in BCH Fused and Close to 20,000 Fusions
Cashfusion, the privacy-enhancing solution for the Bitcoin Cash network is nearing its one-year anniversary and during the last four...
The Crucial Level to Watch as Ethereum Prepares to Shoot Toward $700
Ethereum topped out dramatically in August when it hit $490, then crashed. The coin currently trades for $370, 25%...
Amid IRS bounty and competitor progress, Monero developers ship a major update
A new Monero update brings improvements in performance, speed, and security amid increased scrutiny from law enforcement and developments...
Analyst: Bitcoin Would Rocket to $20k if It Were to Breakout Today
Bitcoin’s price has been struggling to gain any serious momentum over the past few days This has come about...

Featured Crypto News

‘Enormous wall of money’ will send Bitcoin to $1M in 2025 — Raoul Pal
The largest cryptocurrency will “massively outperform gold” before that, says the Real Vision founder. Bitcoin (BTC) hitting $1 million...
Bitcoin Will Likely Grow 15-20x in Next 15 Months: Fund Manager
Bitcoin has every possibility to grow its market size by 15-20 times within the next 15 months, according to...
Ripple donates $10M to Mercy Corps during annual Swell conference
Ripple continues its effort to bring financial inclusion to struggling markets. Ripple announced a contribution of $10 million to...
TA: Ethereum At Risk of A Sharp Decline If It Breaks $365 Support
Ethereum faced a strong rejection above $380 against the US Dollar. ETH price is now at a risk of...
Tether volume hits $600B as it attempts to take on Bitcoin as crypto’s benchmark
Tether accounts for a huge percentage of transactions and is taking on Bitcoin and Ethereum in a variety of...
Bitcoin (BTC) Blasts Through $11,000 Following Bullish Triangle Breakout
Bitcoin price just smashed back above $11,000 and bulls are now attempting to flip the key level as resistance...