Decentralized cryptocurrency exchange Serum based on the Solana network has become defunct due to the collapse of Alameda and FTX. The project's team wrote in a tweet on Tuesday that the exchange's security is in danger, given that its authority is held by FTX.
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What's next for @ProjectSerum
— Serum (@ProjectSerum) November 29, 2022
With the collapse of Alameda and FTX, the Serum program on mainnet became defunct.
As upgrade authority is held by FTX, security is in jeopardy, leading to protocols like @JupiterExchange and @RaydiumProtocol moving away from Serum.
The team noted that the crypto community is already working on a new fork dubbed OpenBook. Led by @m_schneider, the forked version of Serum is currently seeking more liquidity as the exchange already has over $1 million of daily volume.
The team also said that with the closure of Serum, the future of its native token SRM is "uncertain." As per the team, there are proposals from the community "suggesting it to still be used for discounts and other proposals to not use it at all because of the exposure that FTX/Alameda have." It is also unclear if SRM investors are doomed to lost their money given that no fork for the token has been announced so far.
Founded in 2020, Serum was backed by FTX, Alameda Research and the Solana Foundation.
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