Legendary developer Andre Cronje bows out from DeFi

Highlights

• On Sunday, developer Anton Nell announced on Twitter that he and Andre Cronje would be departing from decentralised finance (DeFi).
• Best known for creating Yearn Finance and Keep3rV1, Andre Cronje has been involved in several other high-profile DeFi projects throughout crypto’s short history.
• Along with Cronje and Nell’s departure, Nell announced that there are around 25 apps and services that will be taken down on 03 April 2022.

The news of prolific developer Andre Cronje’s departure from the decentralised finance space is inflicting a severe impact on the crypto market.

On Sunday, fellow developer for the Fantom platform Anton Nell announced on Twitter that he and Cronje would be departing from decentralised finance (DeFi).  The announcement resulted in marked drop of Fantom’s price along with a list of other altcoins.

Who is Andre Cronje?

Best known for creating Yearn Finance and Keep3rV1, Andre Cronje has been involved in several other high-profile DeFi projects throughout crypto’s short history.

Cronje is somewhat of a prodigy, completing his three-year computer science course in just five months before immediately moving on to becoming a lecturer.

From there, Cronje moved into telecoms, developing big data and high transactional infrastructure, before shifting his focus to mobile security and cryptography.

Over the last five years, the developer has been engaged in using blockchain technology to provide financial products to the unbanked sector in Africa. His exploits in this field have made him one of the most influential people in the DeFi space.

Why Did Legendary Developer Andre Cronje Move Out From DeFi?'

The knock-on effect  

The announcement of both Nell and Cronje leaving the DeFi sector has resulted in a significant drop in several token prices in the past 24 hours.

Along with Cronje and Nell’s departure, Nell announced that there are around 25 apps and services that will be taken down on 03 April 2022. Some of the affected blockchains include Yearn Finance, Keep3r network, Chainlist, Solidly, and Multichain.

Among those platforms most affected by the announcement are Fantom, which plummeted around 21% in the 24 hours following the announcement. Yearn Finance also saw a drop of around 10%.

Tokens are not stocks

A blog post written by Cronje in October 2020 summarises his overall view of the DeFi space. In it, he criticises the external perception people have of DeFi tokens, rejecting the view that these tokens are somehow stocks. Rather, he labels them a coordination mechanism.

He further criticises the idea of a crypto community, saying that anyone involved in the space should be a contributor rather than a bystander passively earning money through a coin’s growing value.

Certain tokens are often described as having “strong communities”, which Cronje believes causes friction as anyone who holds a token should be contributing to the project.

Bottom Line

Cronje’s departure will no doubt leave a dent in the emerging DeFi industry. Yet his involvement and innovation has impacted the industry greatly.  

Risk Disclosure: Trading in cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory, or political events. The laws that apply to crypto products (and how a particular crypto product is regulated) may change. Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading in the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed. Kalkine Media cannot and does not represent or guarantee that any of the information/data available here is accurate, reliable, current, complete or appropriate for your needs. Kalkine Media will not accept liability for any loss or damage as a result of your trading or your reliance on the information shared on this website.