Beanstalk stablecoin relaunches after going offline for four months.
The stablecoin was earlier a victim of a flash loan attack that resulted in the firm losing nearly $182 million worth of funds.
The credit-based stablecoin Beanstalk has relaunched its protocol after four months. The stablecoin had earlier suffered a massive flash loan attack that rendered the protocol to go offline for a while.
Beanstalk Stablecoin Relaunches On Its First Anniversary
Ethereum-based stablecoin Beanstalk is finally making a comeback. In an official blog post published by the firm, Beanstalk confirmed its official “Unpause” adding that it’s ready to relaunch on its first year anniversary.
“Today, Beanstalk Farms is thrilled to announce that Beanstalk has been Unpaused on the first anniversary of its initial deployment.”
Initially deployed on August 6, 2021, on the Ethereum mainnet, Beanstalk stablecoin is an algorithmic stablecoin that suffered a massive flash loan attack back in April 2022. The hack resulted in draining $182 million worth of funds from Beanstalk, ultimately rendering the firm to “halt and go offline for a little while. “
“Beanstalk was initially deployed to Ethereum mainnet on August 6, 2021. In the ~8 months that followed, Beanstalk organically grew to $100M in market cap and attracted $144M in long-term incentivized liquidity until the governance exploit on April 17, 2022. Since then, Beanstalk Farms and Bean Sprout have worked with the Beanstalk community to prepare the protocol for a safe Replant and Unpause” the later adds.
However, the stablecoin has made a strong comeback. Per the statement shared by Beanstalk’s creator company Publius:
“Beanstalk has come out on the other end of this ordeal stronger than ever. It is a testament to the creditworthiness of the protocol and its potential to help realize a permissionless future.”
In addition to this, the firm highlighted how it has completed two financial audits from “top-notch smart contracting auditing firms” Trail of bits and Halborn.
The organization further noted how it believes that the protocol effortlessly solves existing stablecoin problems and will permit blockchain-based enterprises to compete with non-blockchain-based businesses through the creation of a low volatility business blockchain native asset.
“…the protocol solves existing problems concerning stablecoins and will allow blockchain-based businesses to finally be able to compete with non-blockchain-based ones through the creation of a low-volatility blockchain-native asset with competitive carrying costs (Bean).”
In addition to this, the firm also announced how the protocol has been shifted to a community-run multi-sig wallet until it can secure an on-chain governance mechanism.
The blog further added how it’s out in the wild for the users to explore and experiment.
“Now, the Beanstalk experiment is out in the wild once again. It’s impossible to predict how it will perform, but Beanstalk Farms’ belief in the possibilities for a permissionless fiat stablecoin is unwavering.”