Decentralized finance mobile “superapp” Legend has announced it is winding down after about two years of operation, adding to a string of crypto apps deciding to shut down this year. 

Legend was a DeFi aggregator that aimed to bring DeFi to its users rather than forcing them to sign into multiple different wallets or applications to use their crypto. 

“We believed the right interface could put DeFi’s most powerful primitives in front of mainstream users.” Legend co-founder Jayson Hobby said on Tuesday. 

However, despite the product finding an audience, it didn’t “grow to the scale the company needed to be sustainable long-term,” said Hobby. “Closing is the right call for our team and our investors.”

Over 20 DeFi, NFT and GameFi protocols have announced they are shutting down this year, including ZeroLend, which said in February that it planned to shut down after three years of operations, citing an unsustainable business model.

Closure notice on the Legend website. Source: Legend.xyz

Solana DeFi aggregator Step Finance said it was closing down in February after a $40 million treasury wallet breach in January, and DeFi derivatives protocol Polynomial also ceased operations in February. 

Balancer Labs, the team behind the DeFi protocol Balancer, shuttered in March after mounting financial pressure following a $116 million hack in November.

Meanwhile, Seamless Protocol, a DeFi lending protocol on Base, said it was winding down in April, blaming volatile market conditions.

Users don’t care whether product is onchain or not

Legend is a non-custodial, mobile-first DeFi aggregator launched around late 2024 by former Compound Finance executives, including CEO Hobby. It is used for earning, trading, borrowing and swapping assets like stablecoins and Ether via integrations with other DeFi protocols such as Aave, Compound and Uniswap. 

It aimed to bring DeFi to its users rather than forcing them to sign into multiple different wallets or applications to use their crypto. 

It announced its first funding round, raising $15 million from Andreessen Horowitz and Coinbase Ventures, in February 2025. 

Related: Kelp DAO eyes unpausing withdrawals after attackers’ rsETH on Arbitrum is burned

However, Hobby said that mainstream users don’t care if a product is onchain or not. “They want outcomes,” he said. “Better yield, faster payments, more control over their money.”

“The product that wins isn’t the one that explains crypto better, it’s the one that hides it completely. The benefits are felt, not explained.”

Legend has not disclosed active user counts or total value locked figures, as it operates as an aggregator, but the TVL for the broader DeFi ecosystem has tanked 50% since October in the wider crypto bear market. 

The Legend app will keep running normally for the next 60 days and will go offline on July 12, said Hobby.

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Digital asset company Galaxy and Ethereum treasury platform Sharplink will launch a private fund that will invest Ether in decentralized finance (DeFi) strategies, signaling growing institutional interest in earning onchain yield from crypto holdings.

The proposed fund, called the Galaxy Sharplink Onchain Yield Fund, is expected to launch in the coming weeks with $125 million in initial commitments, the companies said Monday.

Sharplink plans to contribute $100 million from its staked Ether (ETH) treasury, while Galaxy will commit $25 million and serve as the fund’s manager.

The fund will allocate capital to DeFi liquidity protocols and other onchain yield opportunities, with the goal of generating additional returns while allowing Sharplink to maintain its long-term exposure to Ether.

Galaxy CEO Mike Novogratz said the structure reflects growing institutional demand for blockchain-based investment products that offer yield and risk management tools similar to those used in traditional finance.

The value of Sharplink’s Ether portfolio. Source: CoinGecko

Sharplink is one of the largest corporate holders of Ether, with more than 868,000 ETH on its balance sheet. At October market highs, those holdings were valued at nearly $4 billion.

Related: Crypto Biz: Wall Street wants more than just Bitcoin

Sharplink posts nearly $686 million Q1 loss as ETH price declines

Sharplink has continued to expand its Ethereum treasury strategy despite a sharp first-quarter loss driven by Ether’s price decline.

The company on Monday reported a net loss of $685.6 million, or $3.25 per diluted share, primarily due to non-cash accounting charges related to the drop in ETH prices during the quarter. Of that total, $506.7 million was attributed to unrealized losses on its Ether holdings.

Ether fell from a mid-January high of about $3,354 to $2,104 on March 31, according to CoinMarketCap data. It was last trading hands on Monday at about $2,339.

Revenue in the quarter rose to $12.1 million from $700,000 a year earlier, reflecting growth in the company’s operating business.

Since launching its Ether treasury strategy in June 2025, Sharplink has earned approximately 18,800 ETH in cumulative staking rewards. The company ended the first quarter with $16.9 million in cash.

Sharplink’s balance sheet as of March 31, 2026. Source: Sharplink

The results underscore the volatility associated with crypto treasury strategies, particularly for companies that accumulated large positions over the past year. Similar pressures have affected Bitcoin treasury companies, where earnings can swing sharply with underlying asset prices.

Related: Crypto treasury companies likely to consolidate in 2026: Crypto exec

The team behind the Renegade.fi protocol said a whitehat hacker returned about $190,000 after exploiting one of its Arbitrum-based decentralized dark pools and later complying with instructions in an onchain message to return 90% of the funds.

Renegade confirmed the return of funds on Sunday after blockchain analytics platform Blockaid flagged the $209,000 exploit at 8:27 am UTC. The hacker injected malicious logic into a faulty function tied to its V1 Arbitrum dark pool to steal 27 ERC-20 tokens.

Data from Arbitrum block explorer Arbiscan shows that the whitehat returned about $190,000 to the Arbitrum wallet address “0xE4A…5CFBE,” which includes $84,370 worth of USDC (USDC), $27,885 in wrapped Bitcoin and $23,950 in wrapped Ether.

Source: Renegade

White hat hackers have come to play a crucial role in the fight against exploiters who continue to exploit crypto protocols despite strengthened security measures in recent years. 

Industry initiatives like the crypto security nonprofit Security Alliance’s Safe Harbor framework have been set up to enable white hats to steal funds for temporary safekeeping while being legally protected.

In an onchain message, Renegade asked the hacker to return 90% of the funds and keep the remaining 10% as a “whitehat bounty” to avoid facing potential “civil or criminal action.”

The onchain message that Renegade sent to the hacker. Source: Arbiscan

The white hat hacker sent more than 90% of the stolen funds back within 45 minutes and said in response to the onchain message that the action was taken to protect DeFi users: 

“I’ve seen a lot of contempt toward my actions. Although I understand that what I did was not ethical, in the current DeFi cybersecurity, I believe this was the best solution to protect users’ funds and ensure their safety.”

The white hat hacker also hinted that Renegade should tighten up its security measures, stating that the vulnerability exploited was “tooooo simple and bad.”

Related: Crypto hackers stole $17B over past 10 years: DefiLlama 

North Korean state-backed hackers “would never come to negotiate,” they added.

Renegade said the exploit appeared to have resulted from the deployment code failing to assign an explicit owner and from a faulty migration in an April 2025 software update, enabling anyone to rewrite the smart contract tied to its V1 Arbitrum dark pool.

Dark pools are private trading platforms that allow large trades to occur without exposing their intentions to, or impacting, the broader market. 

Renegade added that it would publish a post-mortem with a “full root-cause analysis” explaining the security incident.

Renegade said it would fully compensate affected users, and that only 7% of its trading volume was channeled through the V1 Arbitrum dark pool and that it would contact the “small number of affected users directly.”

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Early reports framed the incident as a 1inch exploit, but the protocol clarified that it was not compromised and no user funds were affected.

TrustedVolumes, a liquidity provider on the Ethereum blockchain, lost about $5.9 million in funds to a hacker on Thursday.

The attacker was able to exploit a vulnerability within the custom trading system used by the platform and managed to withdraw the funds, which included ETH, WBTC, as well as USDT and USDC stablecoins.

What Happened

According to blockchain security firm Blockaid, which caught the exploit as it was happening, the stolen funds included 1,291 WETH, around 16.9 WBTC, roughly 206,000 USDT, and just under 1.27 million USDC.

The attack worked by abusing a design flaw in TrustedVolumes’ custom order-settlement system, known as a Request for Quote (RFQ) proxy.

GoPlus Security posted a breakdown showing that the attacker registered themselves as an authorized “order signer” using a function called “registerAllowedOrderSigner()” that was publicly accessible.

The function allows anyone to designate their own address as a valid signer for trades they controlled, and while normally that would be harmless enough, the settlement function had a separate problem: it checked authorization against one address while actually pulling funds from a different one.

As detailed in a technical report posted by security researcher Defi Nerd, the attacker used that gap to execute four drain transactions against the TrustedVolumes resolver contract, which had previously given the proxy permission to move its tokens.

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According to them, each time, the proxy pulled assets from the resolver and sent only a single raw USDC unit back. Then the attacker converted the stolen WETH back into ETH and forwarded everything to their own wallet.

TrustedVolumes confirmed the exploit and publicly posted three wallet addresses holding the stolen funds, asking the hacker to get in touch about a “bug bounty and a mutually acceptable resolution.”

1inch Distances Itself as DeFi Hacks Continue

Because TrustedVolumes functions as a liquidity provider and market maker on 1inch, some early reports framed the incident as a 1inch exploit.

However, that is not accurate, and both 1inch and Blockaid put out statements clarifying that the protocol itself was not compromised and no user funds on 1inch were affected. TrustedVolumes operates independently across multiple platforms, not exclusively on 1inch.

The attack occurred during an especially difficult period for the DeFi ecosystem since it followed a catastrophic month of April, where more than $650 million worth of crypto was stolen from different projects.

KelpDAO and Drift Protocol were the most affected, having $292 million and $285.2 million taken away from them.

So at $5.9 million, this latest exploit is smaller in scale. But the technical sophistication of the approach, deploying a helper contract, abusing self-service signer registration, and exploiting a maker/funding-source mismatch in a single transaction, puts it in a different category from a simple bug or misconfiguration.

A Manhattan federal judge has allowed Arbitrum DAO to move $71 million in frozen Ether to Aave, clearing the path for the DeFi protocol’s recovery effort following a North Korea-linked exploit.

Judge Margaret Garnett of the Southern District of New York issued the order on Friday, modifying a restraining notice that had locked the assets inside Arbitrum DAO. The modification permits an onchain governance vote to send the funds to a wallet controlled by Aave LLC, and explicitly protects anyone who participates in the transfer from being held in violation of the freeze.

The order still keeps the terrorism victims’ legal claim on the funds, meaning Aave can’t use the funds freely and could be forced to hand them over if the court ultimately rules in the terrorism victims’ favor.

Judge allows Arbitrum to move funds to Aave. Source: Courtlistener

The decision came after Arbitrum delegates showed strong support for the move through an off-chain Snapshot vote as part of Aave’s broader recovery plan following last month’s North Korea-linked rsETH exploit. Any actual transfer still requires a separate binding onchain governance vote.

Related: Arbitrum vote to release $71M in frozen Kelp exploit ETH set to pass

Aave asks court to lift freeze on funds

Last week, Aave filed an emergency motion in a New York court seeking to vacate a restraining notice that had blocked Arbitrum DAO from transferring the funds to victims of the Kelp DAO exploit. The notice was served by Gerstein Harrow LLP, which represents families holding $877 million in unpaid terrorism judgments against North Korea and claims the funds belong to its clients because North Korean hackers stole them during the April 18 hack.

Aave pushed back hard, arguing that a thief doesn’t gain lawful ownership of stolen property and that attributing the hack to North Korea relies on little more than internet speculation. It also warned that if the court upholds the restraining notice, it could deter future DeFi recovery efforts and give bad actors a roadmap to exploit legal uncertainty following hacks.

Gerstein Harrow has previously pursued similar claims. In January, they sued Railgun DAO, alleging the privacy protocol was used to launder proceeds from prior North Korean hacks, including the $1.5 billion Bybit exploit.

Related: Aave deposits fall by $15B as Kelp exploit sparks flight from DeFi lender

Kelp exploit leaves $174 million hole in rsETH backing

The Kelp DAO exploit left rsETH’s backing with a significant shortfall. The hack caused 116,500 rsETH to be released on Ethereum without a corresponding burn on the source side, leaving only 40,373 rsETH in the adapter contract against confirmed backing for 152,577, a gap of roughly 76,127 rsETH, worth around $174.5 million at current prices.

The 30,765 ETH frozen by Arbitrum has been flagged as a meaningful step toward closing that gap, with proponents arguing that even partial restoration of rsETH’s backing would help stabilize conditions for users across Arbitrum and the wider DeFi ecosystem.

Magazine: 53 DeFi projects infiltrated, 50M NEO tokens could be ‘given back’: Asia Express

Chainlink CCIP just secured another major DeFi migration.

Bitcoin-focused DeFi platform Solv Protocol announced that it is fully migrating to the Chainlink Cross-Chain Interoperability Protocol (CCIP) as part of its updated security strategy for cross-chain transactions.

The move will cover more than $700 million in Bitcoin-related assets across SolvBTC and xSolvBTC.

Solv Ends LayerZero Bridging Support

As part of the transition, Solv said it will discontinue LayerZero bridging support for SolvBTC and xSolvBTC on Corn, Berachain, Rootstock, and TAC. The platform explained that it is reducing risk exposure on its existing bridging stack and standardizing its infrastructure on Chainlink CCIP.

Solv described cross-chain bridges as one of the highest-risk areas in decentralized finance, while noting that vulnerabilities in bridge infrastructure can create significant systemic risks for the sector. The platform also confirmed carrying out a complete updated review of available cross-chain interoperability solutions before selecting Chainlink CCIP.

Commenting on the development, Chainlink Labs’ Chief Business Officer, Johann Eid, said,

“We are proud to work with the Solv team and support their migration to Chainlink CCIP as the standardized way that their wrapped Bitcoin assets are securely transferred cross-chain. Solv’s migration to CCIP reflects a broader shift across the DeFi industry of leading protocols adopting Chainlink to deliver the highest level of security required to bring the next billion users onchain.”

LayerZero Breach Fallout Deepens

Solv Protocol’s decision to migrate its cross-chain infrastructure to Chainlink comes weeks after the massive April 18 exploit involving LayerZero-powered KelpDAO, which resulted in losses of roughly $292 million. The attacker, reportedly linked to North Korea’s Lazarus Group, allegedly exploited weaknesses tied to LayerZero’s infrastructure, according to KelpDAO’s public statements.

The DeFi protocol pushed back against claims from LayerZero Labs that the breach stemmed from a configuration issue unique to KelpDAO. Instead, Kelp argued that the setup followed LayerZero’s official documentation and reflected a standard deployment model used by many applications across the ecosystem.

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Kelp further claimed that LayerZero’s DVN signed forged transactions worth more than $100 million before the protocol paused its contracts and stopped additional losses. LayerZero later acknowledged in its postmortem that attackers gained access to RPC endpoints connected to its DVN and compromised multiple nodes during what it described as an RPC spoofing attack.

Following the exploit, KelpDAO announced plans to move away from LayerZero’s OFT standard and transition rsETH to Chainlink’s CCIP framework.

TrustedVolumes, an independent market maker and resolver used by 1inch Fusion, confirmed it was exploited and said about $6.7 million in stolen funds are being held across three Ethereum addresses.

In a Thursday X post, the market maker said the stolen funds were split across three wallets, with two addresses each holding about $3 million and a third holding about $700,000. TrustedVolumes said it was open to “constructive communication” over a bug bounty and a “mutually acceptable resolution.”

The confirmation came after Web3 security company Blockaid said its exploit detection system had identified an ongoing Ethereum exploit targeting TrustedVolumes. Blockaid said the attack involved a TrustedVolumes-controlled custom swap infrastructure. Blockaid initially estimated that about $5.87 million had been extracted, including Wrapped Ether, USDT, Wrapped Bitcoin and USDC.

Blockchain security company CertiK said the attacker registered as an allowed order signer through a public function, then used that authorization to execute orders that transferred funds from the targets.

The incident highlights the risks around third-party infrastructure used in decentralized exchange execution, where resolvers and market makers can operate their own contracts even when the core protocol and ordinary users are not directly affected. TrustedVolumes operates independently as a liquidity provider for multiple protocols, including 1inch, which said its own systems, infrastructure and user funds were not affected.

Cointelegraph reached out to TrustedVolumes for additional comment but had not received a response by publication. 

Source: TrustedVolumes

1inch says none of its protocols were breached

In an X post, 1inch said reports linking it directly to the TrustedVolumes exploit were “misleading,” adding that “neither 1inch nor any of the 1inch protocols are involved.” The platform said there was “no impact on 1inch systems, infrastructure or user funds.”

1inch co-founder Sergej Kunz also said TrustedVolumes operates independently and is not exclusive to 1inch. “While it is true that 1inch uses TrustedVolumes as a resolver, we are one of many,” Kunz said.

Kunz said the framing of the exploit as a 1inch-related incident was “confusing and harmful,” adding that 1inch is monitoring the situation with security partners and will assist where appropriate.

Related: Andre Cronje says DeFi is ‘no longer DeFi’ as builders debate circuit breakers

Security researcher Vladimir Sobolev, known as Officer’s Notes on X, also told Cointelegraph there was “no risk for 1inch users,” adding that the exploit was related only to TrustedVolumes. 

Sobolev said the exploit points to broader weaknesses in crypto security practices, where vulnerabilities can quickly produce immediate losses. 

“We lack security in general. Blockchains just tend to have an immediate payoff,” Sobolev told Cointelegraph. “We need to pay more attention to kill switches, monitoring, circuit breakers, etc.”

Both Blockaid and Sobolev noted that the attack was carried out by the same operator responsible for the March 2025 1inch Fusion V1 resolver exploit. However, Blockaid said the latest attack involved a different vulnerability.

In March 2025, 1inch said a vulnerability affected resolvers using an outdated Fusion v1 implementation in their own contracts, while end-user funds remained safe. SlowMist later traced about $5 million in stolen assets, including USDC and Wrapped Ether.

1inch and the affected resolver negotiated with the attacker, who returned most of the stolen funds under a bug bounty agreement, according to 1inch and Decurity’s postmortem.

Magazine: North Korea denies crypto hacks, Upbit’s bank tests Ripple: Asia Express

Cointelegraph is committed to independent, transparent journalism. This news article is produced in accordance with Cointelegraph’s Editorial Policy and aims to provide accurate and timely information. Readers are encouraged to verify information independently.

The vulnerability that led to ZetaChain’s recent exploit had been flagged through its bug bounty program before the attack, but was dismissed as intended behavior.

In a post-mortem published Wednesday, the team said the incident has prompted a review of how it handles bug bounty submissions, particularly reports involving chained attack vectors that may appear harmless in isolation but are dangerous in combination.

“This bug was reported and they simply ignored it,” one user wrote on X. “That’s how bug bounty programs work with these protocols currently; they incentivize losses for the protocol, the TVL, and the user’s balance instead of paying the researcher for discovering and fixing the bug,” they added.

ZetaChain lost approximately $334,000 to a premeditated exploit on Sunday that targeted its cross-chain gateway contract. The exploit drained funds across nine transactions on four chains, including Ethereum, Arbitrum, Base and BSC, all from ZetaChain-controlled wallets. No user funds were affected.

Related: Crypto hackers stole $17B over past 10 years: DefiLlama

Attacker exploits small design flaws

ZetaChain said in its post-mortem that the attacker exploited three design flaws that, individually, might have seemed minor, but together opened the door to a full drain. First, the gateway allowed anyone to send arbitrary cross-chain instructions with no restrictions. Second, on the receiving end, it would execute almost any command on any contract, with a blocklist so narrow it missed basic token transfer functions.

Third, wallets that had previously used the gateway had left unlimited spending permissions in place that were never cleaned up. By combining all three, the attacker simply told the gateway to transfer tokens from victim wallets to their own, and the gateway complied.

Source: ZetaChain

“This was not an opportunistic attack,” ZetaChain said in its post-mortem. The attacker funded their wallet through Tornado Cash three days before the exploit, deployed a purpose-built drainer contract on ZetaChain and ran an address poisoning campaign before seeding it into their transaction history via dust transfers.

ZetaChain added that a patch permanently disabling the arbitrary call functionality is being rolled out to mainnet nodes. The platform also removed unlimited token approvals from its deposit flow, replacing them with exact-amount approvals going forward.

Related: Ethical hacker intercepts $2.6M in Morpho Labs exploit

AI DeFi exploit success rate increases

A new study by a16z tested whether an off-the-shelf AI agent could go beyond identifying DeFi vulnerabilities and actually produce working exploits. Using OpenAI’s Codex against a dataset of 20 real Ethereum price manipulation incidents, researchers ran the agent in a sandboxed environment with no access to future transaction data and no guidance on how the attacks worked. The agent succeeded in just 10% of cases.

However, when researchers fed the agent structured knowledge about common attack patterns and exploit workflows, the success rate jumped to 70%.

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Cointelegraph is committed to independent, transparent journalism. This news article is produced in accordance with Cointelegraph’s Editorial Policy and aims to provide accurate and timely information. Readers are encouraged to verify information independently.

The platform, however, rejected any wrongdoing. Tokenlon explained that it does not custody funds and that all transactions remain publicly traceable on-chain.

Blockchain investigator ZachXBT has built a reputation for repeatedly calling out crypto platforms and entities he believes are involved in suspicious or illegal activity.

In his latest allegation, he has turned attention to Tokenlon, a relatively lesser-known decentralized exchange with around 17,000 followers on X.

Tokenlon Draws Scrutiny

ZachXBT has alleged that a large share of trading activity on decentralized exchange Tokenlon may be tied to illicit sources. These include romance scams, human trafficking, investment fraud, and underground markets in China.

He also mentioned Tokenlon’s co-founder, Ben He Bin, and suggested that possible future actions could be taken against Tokenlon and ImToken. In addition, the investigator also pointed to other platforms which he believes are connected to illegal fund flows, such as Butter Network, HiFiSwap, Bridgers/SWFT, and Tokenlon, calling for them to be prioritized for enforcement attention.

A user shared that their friend’s mother was scammed out of 270 ETH, and the funds were reportedly sent to Tokenlon. In response, ZachXBT said he has seen many similar cases from victims. Although the platform presents itself as decentralized, he claimed that it does not fully function as one in practice.

In response, Tokenlon acknowledged that it is aware of the discussions regarding illicit funds on-chain and their interaction with decentralized protocols and asserted that it does not custody user funds, while adding that transactions are publicly traceable on-chain. It maintained that it “absolutely does not facilitate crime.”

“We recognize that permissionless infrastructure can be exploited. Combating this requires a “unified defense” across wallets, security firms, and law enforcement.”

Decentralization Claims Questioned

Interestingly, ZachXBT cited a 2022 report by Cryptoforensic Investigators, which questioned Tokenlon’s decentralization claims. It explained that while platforms like Uniswap and 1inch operate fully through immutable smart contracts, Tokenlon behaves differently in practice. The report said Tokenlon, linked to the imToken wallet and imToken PTE Ltd., allows users to swap Bitcoin through its “imBTC DApp.”

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According to its analysis, this setup resembles a centralized OTC service rather than a true decentralized exchange. It described a process where BTC is sent to Tokenlon-controlled wallets, recorded off-chain in their system, and later converted into imBTC before being swapped for USDT. The report further alleged that imBTC functions like a centralized asset pegged to Bitcoin, with Tokenlon retaining custody of the underlying BTC, similar to how stablecoin issuers manage reserves.

Additionally, a 53-page working paper titled “How Do Crypto Flows Finance Slavery? The Economics of Pig Butchering,” first posted on 28 March 2024, also found that around 57-60% of all Tokenlon swaps during 2022-23 involved addresses linked to scam networks. It claimed that victim funds in ETH or USDC often pass through Tokenlon and are later converted into USDT or DAI before reaching centralized deposit accounts.

The native token of Trump-family-linked World Liberty Financial dropped nearly 14% on Wednesday as a controversial governance proposal that would place over 62 billion WLFI tokens under new multiyear vesting schedules went to a community vote.

The proposal was first submitted to the World Liberty governance community on April 15 and officially went live for voting on Wednesday. It proposes locking more than 62 billion WLFI tokens held by early investors and insiders for two years before gradually being released over a span of two to three years. 

Voting runs until May 7. At the time of writing, 99.95% of votes are in favor of the proposal, and the quorum requirement of 1 billion WLFI tokens has already been met, with 6 billion tokens in favor and 3.2 million against.

“This is one of the most significant governance proposals in WLFI history,” World Liberty Financial said in an X post on Wednesday, adding: “62,282,252,205 locked WLFI tokens [are] subject to this proposal. None of it touches the market for a minimum of 2 years if passed.”

Despite nearly 100% of voting power being allocated to the “yes” vote, the proposal has been met with strong criticism from some members of the community.

Cointelegraph previously reported that figures such as Moonrock Capital founder Simon Dedic likened the proposal to a rug pull and questioned the two-year unlocks coinciding with the remainder of Donald Trump’s term as US president. Tron founder Justin Sun, who holds a significant amount of WLFI, also labeled the proposal one of the “most absurd” he’s ever seen.

In the replies to World Liberty’s latest X post announcing that the vote had gone live, the majority of comments were critical of the proposal.

Source: World Liberty Financial 

The unlocking schedule for early investors involves a two-year cliff followed by a two-year linear vest, while insiders such as founders, team members and advisers have a two-year cliff and three-year linear vest.

The proposed schedule has faced backlash for its length, while the voting process has also been criticized because those who don’t vote will have their tokens locked up indefinitely.

Related: Visa adds Polygon, Base support as stablecoin settlement run rate hits $7B

The World Liberty Financial team said this structure was designed to give a “more clear, bounded picture of governance preferences” and to keep tokens in the hands of those who are “genuinely committed” to the future of the project.

According to data from CoinGecko, WLFI was priced at $0.06367 at the time of writing, down 13.6% over the past 24 hours. Overall, it is down 72.8% since hitting the open market. 

Cointelegraph has reached out to World Liberty Financial for comment.

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Cointelegraph is committed to independent, transparent journalism. This news article is produced in accordance with Cointelegraph’s Editorial Policy and aims to provide accurate and timely information. Readers are encouraged to verify information independently.