AC Exits Sonic Board, 'DeFi Godfather' Pulls Off Another Strategic Retreat
Andre Cronje, known as the "DeFi Godfather," and two other founding directors have stepped down from the Sonic Labs board. The S token, once valued at $1.03, has plummeted 97% to $0.028, and the chain's TVL has evaporated 98% from its peak. In his exit statement, Cronje clarified he was a technical architect, not a founder, and distanced himself from token economics and migration decisions behind the token's crash.
Cronje revealed his focus for the past 18 months has been his new project, Flying Tulip. This project raised $200 million privately last year at a $10 billion valuation. Its token design includes a perpetual put option (ftPUT NFT) for early investors, allowing them to redeem their initial investment at any time—a protection not extended to public market buyers.
This pattern mirrors Cronje's past exits from projects like Yearn Finance and Fantom, where he departed near peak hype, leaving later holders to bear significant losses. Sonic itself has seen a complete management overhaul in recent months.
The article frames this as a microcosm of the broader crypto bear market, where Layer-1 chains are bleeding value. It highlights a harsh reality: a project's valuation is often tied to a founder's reputation rather than fundamentals. Ironically, Flying Tulip is set to launch first on the Sonic chain Cronje just left, underscoring a disconnect between the person and the platform.
marsbit06/22 09:48
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