Staff-management disagreements at Defilama surrounding the launch of the company token have led to a ‘hostile takeover’ situation for the decentralized finance analysis platform.
A DefiLlama developer under the handle 0xngmi took to Twitter on March 19 to explain the controversy. However, a day later it was dismissed as a ‘misunderstanding’.
Alleged Defilma developer takeover
DefiLlama acquisition talks began on Twitter after developer 0xngmi claimed the team was forking the platform.
The developer alleged on Sunday that the platform’s new token does not represent the team. “The person who controls both Twitter and the domain of Difilama has decided to launch a token despite everyone on the team not wanting it,” he added.
As a result, the developer pushed for the llama.fi and llamadatfi platforms as a new start. LlamaX contributor Tendeeno explained that 0xngmi led the team and is a majority owner of the platform. However, disagreements with co-founder 0xLLam4 led to the decision to fork Defilama.
Tendino explained that 0xLLam4 believed that Defilama could immediately launch a token to streamline its revenue, despite opposition.
According to Tendino, “Fundamentally, the token will not have value because Defilama is not a protocol and tokens cannot legally be a form of equity.” “Tokens distract people with “y number go down” messages,” he said, leading to major disagreements.
Furthermore, the co-founder reportedly announced that Defilama would launch the token “with or without” the consent of anyone involved, further deepening the crisis.
Tendino stressed that the token would embody the “value and reputation” of the project.
Platforms unleash drama over ‘poor communication’
A day after the drama unfolded on social media, Defilama backed out of the token launch and apologized for it.
The DeFi platform said, “We would like to put behind what happened. There are currently no LLAMA tokens planned, and any airdrop will be discussed with the community, as with every important decision.
Furthermore, the platform said that it will ensure that all Lama Corp divisions will continue to work together to create transparent solutions. 0xngmi confirmed the internal resolution in the thread later on Monday.
“Everything is resolved, the fork has been cancelled, all work will continue on defillama.com,” he added.
DeFiLlama is considered one of the largest DeFi TVL aggregators. It is estimated to have over 10 million monthly users.
The platform estimates that the total value of the sector is less than $50 billion.
BeInCrypto has reached out to the company or the person involved in the story for an official statement regarding the recent development, but has yet to hear back.