TechFlow reports that on August 1, the Kujira team published a statement on X addressing the recent liquidity crisis and market panic. The team explained that it had previously decided to allocate part of its operating funds to support ecosystem liquidity and promotional activities—an action considered reasonable at the time. However, subsequent events, including security breaches and social engineering attacks, triggered market instability.
The team acknowledged facing significant challenges in safeguarding funds, with sustained selling pressure making this objective difficult to achieve. While some aspects stemmed from individual actions, the team takes full responsibility for the current situation and sincerely apologizes for the impact on price. Certain social media "influencers" have inaccurately labeled this scenario as a "rug pull," which is false but has undoubtedly intensified market panic. The team reiterated that 14 million KUJI tokens in the foundation treasury remain secure, and claims suggesting the entire treasury is at risk are incorrect.
To enhance transparency and accountability, Kujira will establish an Operational DAO (Kujira Operational DAO) to manage the treasury and core protocol. The DAO's primary task will be to safely reduce debt by offering discounted KUJI to the community through Fuzion’s bond product, featuring multiple vesting and maturity schedules to minimize long-term price impact. Additionally, the team proposes migrating the community pool to the Operational DAO, extending voting periods for funding requests to ensure more thorough discussion and consideration. In the future, the Kujira Foundation’s staking position will also be transferred to the DAO, securing sustainable revenue.
Previous report: Kujira Foundation's operational wallet was liquidated, causing the token to drop 40%.
