What's Driving Token Prices? November 30, 2022

SRM (-10%) - The decentralized finance project on Solana, Serum, officially announced yesterday that it was folding following the downfall of FTX. The project, backed mainly by FTX, believes its security and future are compromised. FTX held the private keys to make upgrades to the contract, which may have been stolen during the FTX hack on November 11th. Apparently, developers have decided to scrap the use of the native SRM token with the exposure to FTX and Alameda. However, the Serum project is not completely gone and has supported the use of OpenBook—a fork of the project that is widely supported in the community.
AAVE (+14%) - Last week, Aave saw the hacker Avi Eisenberg (who previously exploited a similar flaw in Mango Markets lending protocol) take advantage of Aave by borrowing massive amounts of CRV, leaving the protocol with $1.5M of bad debt. As a result, the community voted to freeze 17 assets in Aave’s lending market to prevent further bad debt from accruing to the protocol. The frozen assets, which include Curve, 1inch, and Yearn Finance, will likely become available again after Aave completes its v3 upgrade.
APE (+17%) - Apecoin officially announced that its staking program would go live next week on December 5th. The staking program allows holders of APE tokens and NFT collections Bored Ape Yacht Club, Mutant Ape Yacht Club, and Bored Ape Kennel Club to participate. However, much to the chagrin of the community, U.S. and Canadian users will be blocked from participating in staking via the staking website interface. Many have speculated that this is in reaction to the SEC’s probe into Yuga Labs last month.

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