Yearn Finance founder Andre Cronje claims he did not mishandle the Eminence (EMN) project’s economic exploit, which he says functions well. He says certain social actors are blamed for creating a story around EMN that made rational actors hack the EMN token. Cronje’s comments follow reports that a group of decentralized finance (DeFi) community members planning to sue the smart contract builder whom they say is culpable in the $15 million EMN token hack.
In a post on Medium, Cronje who has vowed not to use his Twitter account, talks about journey which he says has had both failures and successes. Cronje writes:
“I’ve been wrong more times than I’ve been right, I’ve failed more times than I’ve succeeded. I’ve had conceptual ideas that failed in practice. I do not build to make a number go up.” Cronje appears to lament the involvement of speculators and how this distracts from the main objectives of building useful tools.
He claims that Defi tokens are not the same as stocks. He says although “people treat them like stocks, in Defi, tokens are a coordination mechanism.” He says possession of tokens should signal that one “wants to become a contributor and not a bystander.”
Moreover, Cronje clarifies that the apparent distinction between a team (devs) and the community, which he says is the source of friction, should not exist.
“There is no separation, they are one and the same,” says Cronje who now says he did not create Yearn.
The Yearn founder then zeroes in on the botched EMN whose code he says “functioned as designed.”
Defending himself further, Cronje added:
“The contracts went through my normal testing cycles and were at stage 5, on that day alone I had deployed ~2 different versions. LBI is working as intended, it still is, and I am still using it to create a real-world example of how such templates function.”
Instead, the Yearn founder blames those who confuse price with functionality. He points to LBI as an example where “people bought it off Uniswap, inflating the price, something that a rational actor that understood how the system worked should never have done.”
Liquidity Income (LBI) is his latest experiment that was rolled out on October 13 as an “unfinished product meant for research purposes.”
Despite the fact that Cronje did not use a Twitter account to announce the latest experiment, users still deposited ETH into this unaudited contract. It is on this basis that Cronje tries to exonerate himself from the actions of irrational actors although he admits he was “naive.”