SushiSwap (SUSHI), a fork of Uniswap created by the controversial developer „Chef Nomi,“ was delivered in a surprise acquisition on September 6 to FTX exchange CEO Sam Bankman-Fried. The decision came after the SUSHI token dropped from $9.5 to $1.13 within five days.
Chef Nomi sells the $13 million devshare, causing a market crash
The transfer of the project to SBF, a respectable Bitcoin Profit figure in the industry, comes after the withdrawal by Nomi of 20,039 ETH and 2,558,644 SUSHI from the developers‘ fund. The capital in this devshare was to be used to finance the development of the project.
Spencer Noon, president of DTCC Capital, was one of the first to report the sell-off of SUSHI tokens by Chef Nomi:
„The anonymous founder of SushiSwap sells all his SUSHI. WHO COULD HAVE PREDICTED IT?!
Acknowledging the outrage of the community, Chef Nomi explained that this was not an „exit scam,“ claiming that the fund belonged to him as the creator of the project.
„People ask if it was an exit scam. No, I’m still here. I will continue to participate in the discussion. I will help with the technical part and ensure effective migration,“ he commented.
However, several well-known figures in the field of decentralized finance (DeFi) have expressed their disagreement. Andre Cronje, the yearn.finance developer praised for the transparent and decentralized launch of YFI, asked:
„What do you mean ‚without me‘? Are you leaving the project? If so, will you return the funds for the developers? All you have done so far is transfer control of a token created by copying Uniswap Protocol. The funds were not intended to finance development? Aren’t you this developer?“
As SUSHI continued its downfall, SBF took over the protocol, causing a positive reaction from the community. SBF announced the transfer of SUSHI’s keys to a multi-sig, which would later become decentralized.