Solana-based DeFi project Friktion to discontinue user services

The Friktion DeFi project team from the Solana ecosystem announced the platform’s closure to users.

Friktion has made the difficult decision to sunset its user platform, a process beginning with moving all Volts into Withdrawal-Only mode on Friktion’s User Interface https://t.co/zrRbHgr6FV starting 25 Jan 2023.

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— Friktion⚡ (@friktion_labs) January 27, 2023

The platform has migrated its yield-generating crypto products branded Volt into withdrawal-only mode. According to сайту, investment decisions of the startup promised investors annual returns of 2% to 27%.

Friktion called the decision \”complex\” and noted that they had made it, having dealt last year with the fallout from Terra and FTX, as well as overcoming difficulties with several network outages.

\”We still believe in the future of the DeFi ecosystem on Solana and will support it as much as possible,\” the statement says.

The project team noted that it acted in the interests of users and the community, including the owners of the bankrupt Genesis.

At its peak in April 2022, TVL of the project reached $164 million. At the time of writing, the figure stood at about $4.9 million.

По данным Friktion, платформа насчитывала 20 000 активных криптокошельков и осуществляла в среднем ежемесячные транзакции на сумму $3 млрд.

\”In recent months, the DeFi market has been challenging for growth,\” the company noted.

As reported in an exclusive material, ForkLog examined how the DeFi sector managed to withstand 2022 amid the Terra and FTX collapses.

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