All of Ren Protocol’s assets and shares will be transferred to cold wallets controlled by beleaguered crypto company FTX Trading., Ren tweeted on Wednesday.
Ren said FTX had previously directed the protocol to transfer all assets to debtor wallets for safeguarding “in advance of possible shutdowns of infrastructure and systems.”
These assets will be held on separate, segregated cryptocurrency wallets different than those used for other debtors, Ren claimed.
Ren allowed users to transfer tokens, such as bitcoin (BTC), ether (ETH) and dogecoin (DOGE), among different blockchains and became one of the most popular decentralized finance (DeFi) protocols in the 2021 bull run.
The protocol was acquired by Alameda Research, the trading company controlled by alleged fraudster Sam Bankman-Fried, in February 2022 – which marked the beginning of the end for Ren.
In November, Ren Protocol said it was impacted by the FTX Group’s Chapter 11 proceedings and had no funding to last beyond 2022 for the previous version of its service. At the time, Ren said it would try to “secure additional funding” to ensure the development and release of ‘Ren 2.0,’ which would remain completely independent of any ties to FTX.
No further development on Ren 2.0 has been publicly communicated by developers since January 2023, when Ren floated a community governance vote to fund a new Ren Foundation that would overlook the platform’s future.
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REN fell as much as 11% in the past 24 hours, with the bulk of losses coming after developers tweeted the move.