The unfolding events of the FTX crash have had blows on many projects connected directly or indirectly to the firm and Mojito Markets is no exception. Mojito Markets paused protocol development and seeks emergency funds to “push the project forward.”
Mojito markets reportedly paused protocol development and said the announcement forms a part of how it has been responding to the “macroeconomics” events and difficulties the team has faced.
Why Mojito Markets paused protocol development?
- Mojito Markets was affected by the FTX/Alameda crash leading to the loss of project funds under the custody of FTX, and the loss of the firm’s market maker, Alameda. Additionally, Mojito Market’s core team lost their funds to the event.
- Inability to access adequate funding as the bear market hits hard. Thus, it had implications for Mojito Market’s ability to deliver on its project plan. The team outlined some of the milestones it forfeited owing to the mentioned cause as obtaining licenses, making profits, and getting audited.
Following the loss of Alameda as the firm’s market maker, Mojito Markets highlighted it has faced illiquid and volatile prices on Gate.io and a decrease in the buying pressure of MOJO tokens.
Mojito Markets is a play-to-earn decentralized market built on the Aptos ecosystem. However, Mojito Markets intends to migrate from Aptos to remint MOJO tokens on Ethereum. “Please note you must hold the old (Aptos) token to receive the new (Ethereum) token,” Mojito Markets advised.
According to Mojito Markets, it will make a comeback and pick up from where it left off “when the capital/funding situation becomes better.” The firm’s next steps include moving the Mojito Markets (MOJO) token to the Ethereum Blockchain. “By moving the token to Ethereum we can effectively remove Alameda’s supply of Mojito tokens from circulation and get the token to a price where it is solely driven by market forces and not an artificial depression in price,” Mojito Markets said.
Mojito Markets also plans to go multi-chain. “If the FTX fiasco has taught us anything, keeping all our eggs in one basket is a terrible idea.”
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