The team behind the DeFi protocols Qubit Finance and Bunny Finance announced that it would hand governance of the projects to a decentralized autonomous organisation (DAO).
The team would like to clarify;
— We will not disband the team. Just restructuring.
— We will keep compensating for all losses.
— We will keep tracking the exploiter.https://t.co/Wz29qtx2bL— Qubit Finance (@QubitFin) February 11, 2022
At the end of January, an unknown actor withdrew from the Qubit pool digital assets worth about $80 million. According to the statement, the team invested about $10 million into the protocol, which represented all of its operating capital.
“Due to the horrific incident, it has become impossible to sustain the sprawling development team. As a result, the Bunny and Qubit protocols, which were largely led by it, will be governed by a DAO,” the blog said.
In addition to handing governance to the community, the developers will change the structure of fees and rewards, close markets affected by the hack. Bunny vaults will cease issuing BUNNY tokens.
The team pledged to compensate users’ losses. All assets belonging to it will be locked in smart contracts controlled by the community. The proceeds will be transferred to a compensation pool.
“This means that all protocol fees and reserves will be distributed among the respective users for compensation, and any further profits will no longer be shared with the team,” the developers said.
In February, the DeFi protocol QiDAO lost $13 million in a hack of a smart contract on the Superfluid platform.