More than $200 million was withdrawn from the Solana-based MarginFi protocol in two days

What’s new? In two days, users withdrew over $200 million from the MarginFi lending protocol based on the Solana blockchain. The outflow occurred after the sudden resignation of the CEO of the platform and accusations of violations by its competitors. Thus, on April 10, Edgar Pavlovsky announced his resignation and termination of any cooperation with MarginFi, including the analytics division, citing disagreements with the team over the development of the project.

Dune platform data

What else is known? Pavlovsky acknowledged that MarginFi’s team is made up of world-class experts, but he does not “agree with the way things have been done internally or externally.” In addition, in an already deleted tweet, responding to a question about the timing of the launch of the MRGN governance token, the senior executive stated that he “feels maximally right to push back any kind of token.” Such a statement caused a sharply negative reaction from the community.

In turn, the MarginFi team assured users that Pavlovsky’s departure did not affect the products provided by the platform, and that work on improving the protocol will continue. At the same time, the company has not yet announced when MRGN will be launched.

Pavlovsky’s departure was preceded by a dispute with users and accusations from competing projects that MarginFi did not meet its own standards. For example, the SolBlaze protocol team claims that MarginFi failed to issue additional BLZE tokens to its users. As a result, BLZE creditors were not paid interest on deposits for eight days.

Source: Twitter.com

Meanwhile, MarginFi co-founder McBrennan Peet denied the allegations and said that the platform had consistently paid BLZE lenders and borrowers in excess of the required amounts. The delays in issuance were only seen in the last three days and, he said, were caused by blockchain congestion.

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In turn, the founder of the Solend protocol said that MarginFi used unfair methods of competition, spreading inaccurate information about Solend’s total value locked (TVL) and launching attacks on the project’s pricing oracles.

Source: Twitter.com

Notably, Solend, amidst these developments, also announced airdrop for those who deposit funds withdrawn from MarginFi into the protocol.

Source: Twitter.com

As a result, MarginFi’s TVL has dropped to $531 million at the time of writing, according to DiFiLlama.