Ardana, a decentralized ecosystem that had been working on a Cardano stablecoin, has halted development because of funding and project timeline uncertainty. Some in the community have called it a scam.
Ardana, a decentralized ecosystem on Cardano, has halted its development, much to the dismay of the crypto community. The project tweeted on Nov. 24 that “recent developments with regards to funding and project timeline uncertainty” were the reasons behind the halt. It did note that the code would remain open source and that others could build upon it if they wished.
Ardana Labs will hold any remaining funds and treasury balances until “another competent dev team” comes forward to continue the work. The team explained the decision as follows,
“Development on Cardano has been difficult with alot of funding going into tooling, infrastructure and security. This alongside the uncertainty around development completion has led to the best course of action being halting development of dUSD.”
Ardana describes itself as a decentralized exchange stable asset liquidity pool. It has two major products in its ecosystem: a stablecoin platform and DEX called Danaswap.
Orbis, a project strongly associated with Ardana, has also halted its development. Ardana founder Ryan Matovu was the CEO of Orbis Labs. Meanwhile, the SundaeSwap team is trying to buy any infrastructure or internal tools developed in the past year.
What is Ardana?
Ardana was building an all-in-one stablecoin ecosystem for Cardano, which has seen much more development in the past year. The crypto winter looks to have it hard, however. Its future now is very uncertain, though it still might find life in new hands. The native token of the platform DANA crashed by nearly 80% after the announcement was made.
DANA/USDT chart by TradingView
Orbis is a project that is focused on solving scalability issues on Cardano using zero-knowledge proofs. The layer-2 scaling solution had partnered with the likes of cFund, Platonic Systems, and MLabs.
Crypto community begins criticism
Naturally, the community of Ardana has begun criticizing the team. They have called it a rug pull and a scam, lamenting the fact that they helped fund it. Three Arrows Capital had also funded Ardana.
The vast majority of Cardano community members seem to think they fell for a long con. At any rate, it brings about a sad series of events for the Cardano ecosystem. If the market continues as it is, it may not be the last of projects halting development.