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Cypher Says Token Offering Part of Steps to Make Users Whole

The Solana-based digital asset exchange announced on Aug. 23 that it is planning the “most fair” token launch in the history of Solana. According to Cypher, part of the funds raised via the initial decentralized offering will be used “to sustain protocol development, pay for audits to relaunch the protocol, and initiate a treasury for the protocol.”

August Hack Prompts IDO

Cypher, the Solana-based decentralized exchange, said on Aug. 23 that it would kickstart what it called the most fair token launch in the history of Solana. In a statement issued by the Cypher team via the social media platform X (formerly Twitter), the launch is part of steps being taken to make whole all users who suffered when the exchange was hacked on Aug. 7.

According to a blog post titled Loss of Funds Resolution, the token sale followed “a pro-rata redemption package of current assets in the Cypher protocol.” Such assets would be redeemed via wallets “that [are] associated to margin accounts on cypher.”

Concerning how the exchange plans to use the funds raised from the token sale or an initial decentralized offering (IDO), Cypher said:

Funds from the token launch will be used to sustain protocol development, pay for audits to relaunch the protocol, and initiate a treasury for the protocol.

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