{"id":120956,"date":"2023-07-11T17:40:45","date_gmt":"2023-07-11T17:40:45","guid":{"rendered":"https:\/\/dripp.zone\/news\/algorand-decentralized-lending-protocol-algofi-to-shut-down-by-end-of-year-crypto-news\/"},"modified":"2023-07-11T17:40:48","modified_gmt":"2023-07-11T17:40:48","slug":"algorand-decentralized-lending-protocol-algofi-to-shut-down-by-end-of-year-crypto-news","status":"publish","type":"post","link":"https:\/\/dripp.zone\/news\/algorand-decentralized-lending-protocol-algofi-to-shut-down-by-end-of-year-crypto-news\/","title":{"rendered":"Algorand decentralized lending protocol Algofi to shut down by end of year\n &#8211; Crypto News"},"content":{"rendered":"<p><\/p>\n<div data-v-7c7881ea=\"\">\n<p>Algofi, the borrowing and lending protocol built on the decentralized finance blockchain Algorand, will soon shut down.<\/p>\n<p>According to a July 11 announcement, developers&#8217; &#8220;belief in the strength of Algorand&#8217;s technology and novel consensus algorithm has not wavered,&#8221; however, the Algofi platform will nonetheless wind down soon:<\/p>\n<blockquote><p>&#8220;A confluence of events has taken place that no longer makes building and maintaining the Algofi platform to the highest standards a viable path for our company. Due to this, we will begin sunseting the platform and put the platform in withdrawal-only mode shortly. &#8220;<\/p><\/blockquote>\n<p>Starting Sept.  1, collateral factors of ALGO, vALGO, STBL, USD Coin (<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/cointelegraph.com\/usdc-price-index\">usdc<\/a>), goBTC, and goETH markets on both Algofi V1 and V2 will be reduced from around 80% to 0% by the beginning of December.  In addition, the current Liquidity Mining programs will be &#8220;halted and no future proposals will be enacted.&#8221;  The Algofi protocol had $25 million in total value locked at the time of publication, down from its $135 million peak in February.<\/p>\n<figure><figcaption style=\"text-align: center;\"><em>Algofi&#8217;s TVL over time.  Source: DeFiLlama<\/em><\/figcaption><\/figure>\n<p>In April, the US Securities and Exchange Commission <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/cointelegraph.com\/news\/sec-charges-bittrex-with-unregistered-operations-calls-six-tokens-securities\">charged cryptocurrency exchange Bittrex<\/a> with operating an unregistered exchange in the US Algorand was one of six tokens deemed to be a security by the SEC.  The SEC alleged the token&#8217;s security-like characteristics to be partly linked to Algorand&#8217;s initial coin offering in 2019.<\/p>\n<p>On June 13, cryptocurrency exchange eToro halted ALGO, MANA, MATIC and DASH <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/cointelegraph.com\/news\/etoro-algo-mana-matic-dash-purchases-us-customers\">trading for US customers<\/a>, citing a &#8220;rapidly evolving regulatory landscape.&#8221;  To date, <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/cointelegraph.com\/news\/sec-labels-61-cryptocurrencies-securities-after-binance-suit\">68 cryptocurrencies<\/a> are currently viewed as securities by the SEC.<\/p>\n<p><strong><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/cointelegraph.com\/magazine\/dont-stop-currency-transform-world-with-blockchain-dr-jane-thomason\/\"><em>Magazine: You can transform the world with blockchain: Dr.  Jan Thomson<\/em><\/a><\/strong><\/p>\n<p><template data-name=\"subscription_form\" data-type=\"defi_newsletter\"\/><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Algofi, the borrowing and lending protocol built on the decentralized finance blockchain Algorand, will soon shut down. According to a July 11 announcement, developers&#8217; &#8220;belief in the strength of Algorand&#8217;s technology and novel consensus algorithm has not wavered,&#8221; however, the Algofi platform will nonetheless wind down soon: &#8220;A confluence of events has taken place that [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":120957,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[235,203,210,234,231,232,237,238,236,233],"class_list":["post-120956","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blockchain","tag-bitcoin","tag-crypto-currency","tag-elon-musk","tag-ethereum","tag-hyperledger","tag-ibm","tag-mining","tag-nodes","tag-spacex","tag-tesla"],"_links":{"self":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/120956","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/comments?post=120956"}],"version-history":[{"count":1,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/120956\/revisions"}],"predecessor-version":[{"id":120958,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/120956\/revisions\/120958"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media\/120957"}],"wp:attachment":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media?parent=120956"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/categories?post=120956"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/tags?post=120956"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}