SpiritSwap, a decentralized exchange (DEX) on Fantom, will cease operations from Sep.1, roughly 828 days after launching.
The announcement follows the Multichain hack which depleted SpiritSwapโs treasury, making it impossible for the DEX to fund essential operations like costs, salaries, and marketing.
The SpiritSwap team intends to find a successor by Sep. 1. If a transfer of ownership doesnโt happen, the DEX will potentially close.
SpiritSwap says it will assist the successor during the transition period.
At peaks, SpiritSwap had a total value locked (TVL) of $374 million but currently rests atย $2.87 million, a decline made worse by the Multichain incident.
Consequently, SPIRIT, the DEXโs native token, is down 42% in the last 24 hours, changing hands at $0.000725 when writing.
On July 7, Multichain developers disclosed an irregular transfer that redirected assets from MPC addresses to unfamiliar destinations.
Subsequently, on July 9, Zhaojunโs sister executed a transfer of the remaining user assets within the router pool.
Due to the fallout of the hack, Multichain closed down, and more projects within the Fantom ecosystem are gradually ceasing operations.
Geist Finance, Fantomโs lending protocol, recently announced its closure because of its connection to Multichain.
