• Solana-based DeFi lender Everlend Finance has shut down operations due to a liquidity crunch in the lending market.
• The protocol had received funding from investors and is now running in withdrawal-only mode until all funds are fully withdrawn.
• Everlend has decided to make its code open-source so developers can utilize it to continue building on its technology stack.
Everlend Finance, a decentralized finance (DeFi) lender based on the Solana blockchain, has announced that it will be shutting down operations due to a liquidity crunch in the lending market. The protocol had received funding from investors including Serum, Everstake Capital, and GSR, and had seen its total value locked (TVL) peak at $400,000 in June 2022, according to DeFiLlama data. Despite considering itself an „excellent product“ and having „enough runway,“ Everlend said that it would be a „gamble“ to continue operating in the current environment.
In order to ensure a smooth transition, the platform is now running in withdrawal-only mode and will continue to function until all funds are fully withdrawn. The team has urged users to withdraw all assets on the platform at the earliest. Everlend has also committed to returning all raised and unused funds over the next two weeks, as well as clearing payments to third-party contractors.
In addition, Everlend has decided to make its code open-source so developers can utilize it to continue building on its technology stack. This will enable developers to build on the existing codebase and create new products and applications for the Solana blockchain. By making the code open-source, Everlend hopes to ensure that its technology does not go to waste.
Overall, the decision to shutter operations was a difficult one for the team, but it was made with the best interests of users in mind. Everlend wants to ensure that users are able to access their funds as soon as possible and that they can continue to build on its technology stack. The team is confident that its open-source code will continue to be used and developed upon in the future.