Synthetix Founder Appears to Have Sent Portion of Company Funds to Beleaguered Ex-Treasurer: EmberCN

• Synthetix’s former treasurer claimed they “had nothing left” after being liquidated as crypto markets plunged over the weekend.

• The company’s founder unlocked $6.5 million from the derivatives liquidity protocol’s treasury and sent $86,000 to the former employee, on-chain data appear to show.

• The treasury contains $39.4 million.

On-chain data appear to show that Synthetix founder Kain unlocked $6.5 million from the project’s treasury and transferred $86,000 to SynthaMan, its former treasurer, who was liquidated during the weekend’s crypto market plunge, blockchain sleuth EmberCN posted on X.

EmberCN also said SynthaMan also received approximately $112,000 in donations in the past two days after posting that all their SNX was lost “due to liquidation” and that they had “nothing left.”

“Some folks asked for donation wallet,” SynthaMan wrote on X. “If you guys willing to donate or lend me some money until my ILV unlocks in September, you can send it to: Spartan.eth Otherwise I wont even ask you for that. Just need to survive 1.5 months.”

Etherscan shows that a wallet tagged as belonging to project-founder Kain sent the tokens to the Spartan.eth address.

Synthentix is a decentralized finance (DeFi) protocol that provides liquidity for derivatives platforms across the DeFi market. It has $237 million in total value locked (TVL), down more than 76% from March’s total of $1.02 billion, according to DefiLlama. The company’s treasury contains $39.4 million, data from Token Terminal shows.

Synthetix did not immediately respond to CoinDesk’s request for comment.