Andre Cronje: Fantom Foundation withdrew funds from liquidity pools

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The director of the Fantom Foundation announced the temporary withdrawal of the fund's funds from the liquidity pools on SushiSwap for security reasons in relations with the Multichain bridge.

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Andre Cronje stated that "ifsomething negative will actually happen, then it will affect USDC, DAI and wBTC issued on multiple chains, and everything else doesn’t really matter.”

According to the director, he is not particularly worried about the situation around Multichain, because the fund's assets are protected, and the Fantom bridge is not affected.

According to The Block Research, about 38%the total locked value of Fantom is stored in Multichain. In addition, tokens issued on Multichain account for 78% of the market capitalization of tokens on Fantom.

As noted
Lookonchain analysts, on May 24, the Fantom Foundation withdrew $2.4 million of liquidity from its own MULTI protocol tokens on the SushiSwap decentralized exchange, making the tokens available for sale.

On Thursday, May 25, the Binance exchange announced
on the temporary suspension of deposits for ten networks of Multichain bridge tokens amid uncertainty over the future of the Multichain project.

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