In a surprising move, the CEO of decentralized social finance (SocialFi) application Stars Arena, known by the name Chill Pill, has resigned from their position. This decision comes nearly a month after the platform experienced a major smart contract exploit, which resulted in a significant decrease in the protocol’s total value locked (TVL). Before the hacking incident, the TVL stood at nearly $3 million, but it has now fallen to just above $300,000.
Stars Arena made the announcement about the CEO’s resignation on X, stating that the team is working on rebuilding the trust of community members. Chill Pill also tweeted about their resignation, but neither Stars Arena nor Chill Pill provided reasons for this unexpected Development.
The news of a CEO at Stars Arena surprised many members of the crypto community on X, as the social app has not been transparent about the team behind the project. Some people also noted that Chill Pill’s resignation was one of the fastest in the space.
Stars Arena launched its SocialFi app in late September, which is an imitation of the Ethereum-based platform Friend.tech. The app allows users to connect their X accounts and utilize Avalanche’s native coin AVAX to purchase shares called “tickets” from creators. The platform saw a surge in interest after its launch, leading to increased transactions on the Avalanche network. However, the protocol has experienced multiple hacks.
The first exploit cost Stars Arena $2000, but the team assured users that they had fixed the vulnerability. Unfortunately, just two days later, the platform was hit with a second hack, resulting in a larger theft. The attackers drained the project’s TVL, stealing nearly $3 million and leaving only $0.5. At the time, Avalanche CEO Gün Sirer expressed confidence that Stars Arena would quickly recover from the incident. The platform later claimed to have received funding to cover the losses.
In a surprising turn of events, the perpetrator behind the hack reached out to the Stars Arena team and returned 90% of the stolen funds. In return, they received a 10% bounty and an additional 1,000 AVAX that had been lost in a bridge. However, despite this recovery, Stars Arena’s TVL remains significantly lower than before the hacks, currently standing at $310,468, according to DefiLlama.
The resignation of Stars Arena’s CEO and the decrease in TVL highlight the challenges and risks associated with decentralized finance applications. Rebuilding trust with the community will be crucial for the platform’s future success..
#CEO #Avalanchebased #Web3 #Social #Platform #Stars #Arena #Steps
Stars Arena made the announcement about the CEO’s resignation on X, stating that the team is working on rebuilding the trust of community members. Chill Pill also tweeted about their resignation, but neither Stars Arena nor Chill Pill provided reasons for this unexpected Development.
The news of a CEO at Stars Arena surprised many members of the crypto community on X, as the social app has not been transparent about the team behind the project. Some people also noted that Chill Pill’s resignation was one of the fastest in the space.
Stars Arena launched its SocialFi app in late September, which is an imitation of the Ethereum-based platform Friend.tech. The app allows users to connect their X accounts and utilize Avalanche’s native coin AVAX to purchase shares called “tickets” from creators. The platform saw a surge in interest after its launch, leading to increased transactions on the Avalanche network. However, the protocol has experienced multiple hacks.
The first exploit cost Stars Arena $2000, but the team assured users that they had fixed the vulnerability. Unfortunately, just two days later, the platform was hit with a second hack, resulting in a larger theft. The attackers drained the project’s TVL, stealing nearly $3 million and leaving only $0.5. At the time, Avalanche CEO Gün Sirer expressed confidence that Stars Arena would quickly recover from the incident. The platform later claimed to have received funding to cover the losses.
In a surprising turn of events, the perpetrator behind the hack reached out to the Stars Arena team and returned 90% of the stolen funds. In return, they received a 10% bounty and an additional 1,000 AVAX that had been lost in a bridge. However, despite this recovery, Stars Arena’s TVL remains significantly lower than before the hacks, currently standing at $310,468, according to DefiLlama.
The resignation of Stars Arena’s CEO and the decrease in TVL highlight the challenges and risks associated with decentralized finance applications. Rebuilding trust with the community will be crucial for the platform’s future success..
#CEO #Avalanchebased #Web3 #Social #Platform #Stars #Arena #Steps