a16z-backed decentralized credit protocol Goldfinch announces gradual shutdown

CoinFeed June 23 news, according to Cryptopolitan, the a16z-backed decentralized credit protocol Goldfinch announced it will gradually shut down. Last Friday, pseudonymous investor Edward Morra publicly accused the protocol of mismanagement, leading to over $50 million in user fund losses, stating that borrower defaults and failed loan restructurings have made it nearly impossible for depositors to recover funds. Just one day after the post was published, the project announced it would enter a gradual shutdown phase. The protocol's native token GFI has fallen from its January 2022 peak of $32.94 to below $0.07, a drop of 99.8%, with its market cap declining from over $390 million to less than $6 million.