Aptos ecological DEX project Mojito Markets announced that it was affected by the FTX/Alameda collapse, losing the funds for the project hosted by FTX and the support of Alameda. The project decided to suspend development. Once the funding situation improves, it will continue to improve.
“The FTX/Alameda collapse affected Mojito Markets disproportionately in many ways. We lost project funds under FTX’s watch, we lost our market maker, Alameda,” it said. In the statement, it was stated that emergency financing was difficult to obtain in the context of the bear market and had serious implications for our ability to execute our project plan. In addition, the project team said:
“Excitement and enthusiasm for Mojito Markets across the team is still very lively, but we have accepted the reality of the situation and have decided to stop project development for now. Once the capital/funding situation gets better, we will continue where we left off as Mojito Markets and at the same time benefit from the universal cross-chain liquidity of the protocol. We plan to move to multi-chain to maximize its impact. We are a new protocol running on a new blockchain in an area where regulations are uncertain. This is a hard sell even at the best of times. These issues are naturally associated with project successes such as profitability, obtaining regulatory licenses and auditing. “Unfortunately, we haven’t had the time or resources to reach these milestones yet.”
Losing Alameda as our market maker means two things. 1. Prices on Gate.io are volatile and illiquid, and 2. A large MOJO token sale on DEXs like PancakeSwap and LiquidSwap most likely means an abnormally large Mojito token sale on Alameda that is not naturally offset by even buying pressure.