By Hassan Mehmood (Saudi Arabia)
The anonymous founder of SushiSwap hands over the control of the project to FTX CEO after the price of SUSHI went down by 88% in just five days.
Criticism from the Community
The community reacted severely when the controversial developer Chef Nomi of SushiSwap has taken 2,558,644 SUSHI and 20,039 ETH from the dev fund. The dev fund was dedicated only to the development and growth of the project. After the incident of funds withdrawal, the price value of SUSHI dropped from $9.5 to $1.13 in a timeframe of five days.
People started to call the project a scam as SushiSwap’s founder took a large amount of capital which was dedicated only to its development and growth. The head of DTCC Capital, Spencer Noon, said:
“Anonymous founder of SushiSwap sells all of his Sushi. WHO COULD HAVE POSSIBLY PREDICTED THIS?!”
But Chef Nomi said that he deserved this and did not accept his fault. “People asked if I exited scam. I did not. I am still here. I will continue to participate in the discussion. I will help with the technical part. I will help ensure we have a successful migration,” he said.
Even DeFi developers are not happy with this and question the decision of SushiSwap’s founder. Developer Andre Cronje said:
“What do you mean “without me”? Are you leaving the project? If so, are you giving the dev funds back? All you did so far was hand over a token that was built off of Uniswap Protocol. Weren’t the funds meant to further develop? Aren’t you that developer?”
FTX CEO’s Control over SushiSwap
FTX CEO Sam Bankman-Fried has taken control over SushiSwap from Chef Nomi. SBF also criticized Nomi and said that Sushi would go to zero if Nomi does not leave the lead position of SushiSwap. He explained:
“a) Nomi sucks and hurt the community
- b) Sushi shows promise as a dynamic AMM built by the community
- c) If Nomi doesn’t step down, it’s over for Sushi.
- d) If Sushi adds a division on Serum, we’ll give 5mm SUSHI to farmers
- e) Either way, AMMs coming to Serum.”
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