Yearn Finance (YFI), a prominent player in the decentralized finance (DeFi) ecosystem, has witnessed a staggering 45% nosedive. The free fall is attributed to what appears to be an exit scam orchestrated by insiders, leaving the crypto community in disbelief.
10 Wallets Hold Nearly Half of YFI’s Total Supply
Investigations reveal a disconcerting concentration of power, as nearly half of Yearn Finance’s entire supply is held by just 10 wallets. This revelation raises questions about the decentralization ethos of the DeFi space, bringing concerns about the vulnerability of such platforms to manipulative actions.
Yearn Finance plummeted, resulting in a swift evaporation of over $250 million in market capitalization within mere minutes. Observers are labeling the entire episode as a colossal Ponzi scheme, emphasizing that the primary motive behind holding YFI tokens was to exit before others
Speculations arise regarding the identities of the major wallet holders, with many suspecting that these significant accounts are affiliated with exchanges. Theories circulate about an inside job, pointing fingers at the possibility of a market sell-off involving 1000 coins. Amidst the chaos, some opportunistic traders are strategically buying the dip, anticipating market fluctuations.