Ren Protocol transfers all assets to FTX debtors’ wallet in case of shutdown

Cross-chain bridge platform Ren Protocol has announced that FTX, Alameda and their affiliates that acquired the platform in 2022 have authorized and directed the platform to move all of its crypto assets to FTX Debtors’ wallets. 

According to Ren, the move lets debtors safeguard their assets in case of a potential shutdown of their systems and infrastructure. The bridge service also highlighted that they will be transferring the assets to a segregated wallet that’s specific to Ren’s assets in an attempt to separate the funds from other Debtor wallets.

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— Ren (@renprotocol) April 12, 2023

In a move to gather more resources and further its mission to push interoperability within the DeFi space, Ren joined Alameda Research back on Feb. 2, 2022. According to its CEO Taiyang Zhang, the Alameda acquisition will expedite the decentralization of its technologies. Zhang also highlighted in a blog post that they will have Alameda’s resources to back them. 

However, things did not go according to plan as the FTX exchange and its sister company Alameda Research experienced one of the biggest collapses in crypto history last year.

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At the height of the troubles surrounding Alameda back in December, Ren Protocol advised its users to unwrap their tokens which were in the Ren 1.0 network and bring them back to the main chains. According to the firm, the network has shut down due to the events that surrounded Alameda Research.

Meanwhile, members of the community responded with various sentiments to the news that Ren’s assets will be transferred. A Twitter user commented that Ren is “getting rugged” legally while another remained in disbelief of what was happening. Meanwhile, a community member thinks that this is a move from insiders to short the REN token.

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