Stargate foundation advises DAO against reissuing STG tokens

the stargate foundation advised A Decentralized Autonomous Organization (DAO) opposes the reissue of Stargate’s native Stargate Finance (STG) token due to concerns raised by FTX Liquidators.the liquidator is expressed The belief that such movement violates the automatic suspension and may have legal consequences.

In March 2022, former cryptocurrency trading firm Alameda Research bought the entire STG auction for $25 million. However, in November of the same year, after FTX declared bankruptcy, FTX and Alameda wallets were hacked for about $500 million. The liquidator eventually transferred all assets to the new wallet.

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In light of these events, Stargate DAO proposes to reissue $STG tokens and move funds from potentially compromised wallets to more secure ones. However, FTX liquidators rejected this proposal.

Stargate DAO argues that the liquidator’s concerns are unfounded and that reissuing the $STG token does not violate the automatic suspension.stargate murmured “During the interactions that the Foundation has had with liquidators, they have had a firm grasp on the reality of smart contracts, how contracts work, or how they interact with contracts to secure funds. There is nothing to indicate that

Cliffs: Liquidators prefer to store tokens in insecure wallets with keys that have very likely been compromised by hackers. I don’t know how the contract function expects to be able to compete with hackers for funds as they vest on a block by block basis.

— Stargate (@StargateFinance) March 10, 2023

Despite the efforts of exchanges, protocols and external parties to ensure the security of funds, the Foundation supports the recommendation against reissuing STG tokens due to the current opinion of FTX Liquidators. .