The FTX collapse, which caused a crisis in the cryptocurrency market, affected many altcoins. In particular, altcoins such as Solana, FTT, as well as Bitcoin price fell. Meanwhile, Ren Protocol, known to be affected by the situation, is shutting down. It is replaced by Ren 2.0. Here are the details…
Affected by FTX crash, not Solana, Ren moves to 2.0
As Cryptokoin.com reported, the collapse of FTX and Alameda seriously affected the market. Even the coins that FTX and Alameda hold in reserve, even invested in, have seen price drops. Because many investors thought that the two companies could start selling these coins to avoid bankruptcy. Another fear was that their funds would stay on the platforms, meaning they could not withdraw at all. For this reason, there have been many people who withdraw and sell their altcoins.
Also, as it is known, a hack attack took place on FTX. This attack turned eyes to the platform as the hacker moved funds over the Rhine Bridge. So the developments towards FTX and the Alameda Research crisis affected Ren deeply. This is why the Ren 1.0 network is shutting down. It is replaced by Ren 2.0. In a recent Twitter statement, the protocol used the following statements:
As previously announced, the Ren 1.0 network is being shut down due to events surrounding Alameda. Owners of Ren assets should bridge local chains as soon as possible, as compatibility between Ren 1.0 and 2.0 cannot be guaranteed. Otherwise, they may run the risk of losing their funds.
2) Check if you are holding Ren assets here:
EVM chains: https://t.co/tRGMCMJUSA or https://t.co/i6iHcBs7yt
Solana: https://t.co/LespFQHVtDBridge back to native chains here: https://t.co/taUNLHwUDR
— Ren (@renprotocol) December 7, 2022
Details about Ren 2.0
The Ren protocol has reached great technical maturity since it was first announced at the end of 2018. Originally supporting BTC, BCH and ZEC on the Ethereum mainnet, the protocol now supports a large number of assets on smart contract chains such as Arbitrum, Polygon, Solana. This multi-chain support enables interoperability among the largest and most active ecosystems throughout the crypto space. In addition to this, two important updates have taken place recently.
“After Optimism, Kava and Moonbeam integrations are complete, we started preparing for Ren 2.0, the next version of Ren,” the protocol states. Additionally, Ren’s blog post contains the following statements about Ren 2.0:
Ren 2.0 will be the network that powers the growth of the Ren ecosystem throughout this exciting new chapter we are about to begin. Major advances will include an improved MPC algorithm that supports generic application logic above Ren, is more scalable and can support more signing schemes, and optimized tokenomics to further align incentives for ecosystem participants. These are comprehensive upgrades to our core technology. Therefore, they will be deployed to a new network. The current Ren ecosystem will continue to operate as is, but will eventually migrate to Ren 2.0.
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