Frax founder says Fei Protocol situation reaches 'new low for DeFi'

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Frax founder says Fei Protocol situation reaches 'new low for DeFi'
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The founder of Frax describes Fei Protocol’s hack redemption plan as one of the most “mind boggling” situations he has ever seen.

Fei Protocol has issued a hack redemption plan that will repay most holders — but won’t fully repay large affected protocols.

Sam Kazemian, founder of the stablecoin project Frax, expressed dismay at the way the sunsetting of the Fei Protocol and its hack redemption strategy is being handled. In December, decentralized stablecoin project Fei Protocol merged with DeFi protocol Rari Protocol and became two connected protocols governed by a single group: Tribe DAO. In April the combined project suffered an $80 million hack. As The Block

“An honorable, ethical, & respectable shutdown of a DAO is literally perfectly here. The money is there. The full repayment, the perfect peg redemption, & moral precedent is possible. I truly don't understand how it's possible to look at this, then decide"Na let's take the rest,” he said.

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