Problems with Concave Finance's 'Returning $2.1M to Investors' Settlement Process

Odaily Planet Daily News Concave Finance agreed last week to return $2.1 million to investors from its treasury. Known as “rage quitting,” such settlements refer to the liquidation of some or all of a project’s funds, which are then distributed to investors in the form of stablecoins. But the deal didn't go as planned, with the distribution of funds supposed to take place within 10 days and allow dozens of investors to participate. However, a small number of "smart" investors received all USDC in just 30 minutes, leaving most of them empty-handed. It is reported that because the smart contract used for the claims process has serious double counting errors, it cannot comply with the basic principles of bookkeeping and cannot prevent double counting of assets. Therefore, the contract continues to count the claimed funds as part of the pool of unclaimed funds, allowing the earliest claimants to get all the funds. Adonaieth, an anonymous cryptocurrency investor, said: "It was the result of poor code and poor communication, because at the time no one realized that this service would be live, and many people were on vacation." Concave acknowledged the failure and said they would issue a post-mortem analysis. According to DefiLlama data, since its launch, Concave Finance TVL has dropped by 96% to $518,000, and its native token CNV has been on a downward trend since April last year, temporarily trading at $3.64. (DL News)