Carrot, a DeFi project operating within the Solana ecosystem, has announced its decision to cease operations completely. In a statement, the project team said that a security breach of the Drift Protocol had serious consequences for the sustainability of the company and made continued operations impossible.
In an official statement, Carrot said: “This was absolutely not the outcome we wanted, but the situation that arose after the Drift attack has been devastating to our operations.” The project has set May 14 as the last day for users to withdraw their assets from the platform.
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According to the announcement, users can withdraw their funds in Boost, Turbo and CRT products until this date. The team stated that after this process, leverage positions in the system will be fully reset and liquidity will be released to be used for CRT redemptions. The project also claimed that users’ funds are safe and ownership of the invested assets remains with the users.
On the other hand, it was mentioned that the funds obtained from a possible recovery process related to the Drift attack will be distributed to users, as previously announced. However, no clear timeline was shared on when this process will be completed.
The Carrot team stated that they had been working towards the goal of making DeFi more accessible for over two years, and shutting down the project was a difficult decision.
*This is not investment advice.