Following the allegation earlier this week that wonderland founder is the same as the co-founder of now-defunct exchange QuadrigaCX, the Defi protocol community has removed Sifu also known as Michael Patryn as its treasury manager.
Wonderland, the DeFi protocol’s community, has fired Sifu as its treasury manager. Sifu’s identity was revealed two days ago as Michael Patryn, a convicted co-founder of the bankrupt Canadian crypto exchange QuadrigaCX.
On January 27, Wonderland DAO held a vote to oust Sifu, which was passed by a majority on January 29. The vote was held among TIME token holders, who totaled approximately 64,000 tokens. (In most cases, one token equals one vote.) Sifu was voted to be replaced by about 88 percent of TIME tokens. TIME is Wonderland’s native symbol.
A crypto sleuth who uses the handle Zach on Twitter revealed that Sifu is Patryn on Thursday. Sifu is Patryn, according to Zach’s talk with Daniele Sestagalli, Wonderland’s other co-founder. Sestagalli informed The Block at the time that he discovered Sifu is Patryn a month ago. Wonderland was founded by Sestagalli and Sifu in September of last year.
Wonderland is a DeFi protocol that is heavily influenced by Avalanche. It is a fork of Olympus DAO, a decentralized reserve currency system that allows users to deposit or sell tokens to the Olympus Treasury in exchange for OHM tokens at a discounted rate.
Wonderland soon established itself as a well-known branch of Olympus. According to Wonderland’s website, the company’s current treasury balance is above $735 million.
Sestagalli stated that he made the decision not to judge Sifu based on his background. Patryn/Sifu is a convicted financial offender who has served time in prison.
In 2005, he pleaded guilty to conspiracy to commit credit and bank card fraud, as well as burglary, grand larceny, and computer fraud. In 2007, he pleaded guilty to burglary, grand larceny, and computer fraud.
QuadrigaCX was formed in 2013 by him and Gerald Cotten, who died unexpectedly and mysteriously in 2018 following a trip to India. Because the exchange was determined to be largely bereft of assets after Cotten’s death, 76,000 investors lost approximately $130 million.
Wonderland is considering shutting down
The project is launching another poll on whether or not to wind down Wonderland now that the vote to remove Sifu as treasury manager has ended.
“Winning down will include returning all wMEMO [wrapped beautiful memories token] holders their treasury assets and declaring the OHM Fork experiment finished,” said Wonderland in a forum post on Friday. “We are convinced that this is the most environmentally friendly path forward.”
Today is the first day of the new voting, which will run 48 hours. If the Wonderland community rejects the winding down proposal, the DAO will find a new organization to whom the treasury will be handed over.
However, because this is a difficult operation, the DAO wants the community to make a counter-proposal within five days, nominating appropriate people to take over the multi-sig and the project.
In the absence of a counter-proposal, Wonderland will unwind the treasury. “We don’t want anything to happen to users’ monies,” it added, adding that “we wouldn’t feel happy delegating the entire treasury to a non-structured substitute.”
The ideal remedy, according to Wonderland, is to unravel the treasury. To that end, it is now working on a user interface that will allow the community to reclaim their monies.
The Wonderland community appears to want the treasury back. TIME token holders have voted “yes” with a total of 53,000 tokens, while those with a total of 33,000 tokens have voted “no.”
