Venture-Backed Saddle Finance Proposes Wind-Down, Dissolution

Ethereum-based crypto trading protocol Saddle Finance is moving to shut down operations and distribute its treasury to investors.

Saddle’s founder Sunil Srivatsa on Tuesday proposed the group liquidate its treasury into ARB tokens and airdrop the proceeds to holders of Saddle’s SDL and veSDL tokens, with veSDL holders getting four times as big an allocation. It was not immediately clear how large Saddle’s treasury was.

The snap poll comes after Curve’s monumental hack ripped through Ethereum-based decentralized finance (DeFi) and, according to Srivatsa’s blog post, reminded Saddle’s team of the ever-present threat of exploitable bugs. He said the protocol’s developers need to step back from the project by September 30, 2023.

Saddle has previously raised over $10 million from venture backers. It has faced accusations of cloning DeFi giant Curve’s codebase.

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The snapshot for determining who is eligible for allocations has already happened, according to investors watching the situation.