Developers of Altcoin Funded by Alameda Announce What Happens Next!

Ren (REN) altcoin platform is in danger of not having sufficient funds for its development following the collapse of Alameda Research.

Ren is an Ethereum-based DeFi protocol that uses the token wrapping process to mine tokenized versions of crypto assets. this wrapped cryptocurrencies it can then be bridged to the Ethereum and BNB Smart Chains.

Bridging in crypto is the sending of tokens from one network to another. The Ren protocol has processed more than $13 billion in cross-chain volume since its inception.

Alameda Bought Rhine Altcoin in 2021

Alameda was funding the development of the Rhine after purchasing the project in early 2021. The trading firm reportedly raised $700,000 per quarter to develop the crypto wrapper coin and bridge protocol.

This source of funding is no longer available as Alameda went bankrupt. The crypto quant trading firm collapsed with FTX in early November.

The Ren team announced on Friday that it only had sufficient funding by the end of Q4 of the year. A community call earlier in the week indicated that the project’s remaining funds were approximately $160,000.

Ren is now seeking funding from other sources. The team announced Friday that it is exploring various opportunities with community members. These options will likely be put to a vote for the RenDAO community to decide.

In addition to raising new funding, the Ren team would like to introduce Ren 2.0, the latest version of the protocol. This new release was announced in August as a planned return to a community-led, open-source project.

While Alameda reportedly owns the IP rights to Ren 1.0, the team says it’s important to accelerate the transition to Ren 2.0. The team added that the accelerated launch of Ren 2.0 should remove concerns about Alameda’s participation in the Ren protocol.

*Not investment advice.