Serum Exchange Got Defuncted After The Collapse Of FTX And Alameda




You probably know something about FTX and its founder Sam Bankman-Fried, sometimes known as SBF, whether or not you are a fan of cryptocurrencies.

Serum, a decentralised exchange with headquarters in Solana, California, is one of the most recent casualties of the collapse brought on by Sam Bankman-activities Fried’s as the bankruptcy procedures of FTX and its affiliated company Alameda Research wreak havoc on the crypto sphere. 

As FTX holds the upgrade authority, Serum has tweeted that their program on the main net is no longer active. In response to Serum’s admission that its “security is at risk,” protocols like Jupiter and Raydium withdrew from Serum.

How does this affect Serum? Unfortunately, Serum’s volume and liquidity have almost completely disappeared with the creation of Openbook. After learning about security flaws in the previous Serum code, users and protocols may confidently use an alternative fork like Openbook with confidence.

In addition, the decentralised exchange said that while the future of its native token, SRM, is unclear, some members of the ecosystem advocate for the coin’s continued usage for a limited number of uses. 

Despite this, some people believe that SRM has to be abandoned because it was exposed to the problems caused by FTX’s demise.

On a more upbeat note, Serum declared that “there is hope” since Mango Max’s user-led “community-wide effort to fork Serum is going strong.”

The private key linked to FTX, not the SRM DAO, was in charge of the serum program update key. Who possesses this key and, thus, has the authority to change the serum software, potentially introducing malicious code, is now unknown, Mango Max tweeted.

Mango Max’s tweets revealed that the initial reaction the user gathered from several people who had previously been associated with the project was not positive. However, we can’t discuss those tweets with you here. You can watch the tweets on Mango Max.

To breathe new life into the project, the user claims to be in charge of a team of Serum developers.

“This simply cannot be how it ends. I made the decision to push for a relaunch with a number of amazingly competent devs,” the user added. “Upgrade authority and fee income have changed and are now governed by a multi-sig overseen by a team of trustworthy developers.”

The Bahamas’ government, where FTX’s headquarters are located, recently acknowledged that it is looking into the operations of the bankrupt company.

The Bahamas Securities Commission, Financial Intelligence Unit, and the police’s Financial Crimes Unit are moving forward with their investigation of “the facts and circumstances regarding FTX’s insolvency crisis. 

Moreover, they are also investigating any potential violations of Bahamian law,” according to Ryan Pinder, the country’s attorney general and Minister of Legal Affairs.

Summary Of The News

  • FTX collapse has affected the Serum exchange
  • Mango Max has revealed the tweets of users on the Serum exchange
  • Bahamas and police are investigating the facts involving the FTX crisis

About the author, Awais Rasheed

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