- Solana ecosystem DeFi protocol Carrot said it will shut down after suffering critical damage from the Drift hack.
- Carrot asked users to withdraw all remaining funds from the platform by May 14 and added that it plans to unwind all loans on the system after the deadline.
- According to DefiLlama, Carrot’s total value locked (TVL) stood at $28 million before the hack, but has now fallen about 93%% to roughly $1.99 million.
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Carrot, a decentralized finance protocol on Solana, said it will shut down after suffering severe damage from the Drift hack.
Cointelegraph reported on May 1 that Carrot wrote on social media that the incident had dealt a critical blow to the project and left it without the financial capacity to continue operating.
The protocol asked users to withdraw all remaining funds from the platform by May 14. After that date, it said it will unwind all loans on the system.
Carrot is a yield-optimizing DeFi protocol that automatically allocates users’ deposited crypto assets across lending platforms to generate returns. It had been using Drift’s infrastructure to produce yield, but was hit hard after Drift was hacked. According to DefiLlama, Carrot’s total value locked was about $28 million before the hack and has since dropped about 93% to roughly $1.99 million.
The Drift hack that triggered the fallout occurred on April 1.
