Basis Protocol shuts down, returns back investors money

Basis Protocol coined Basecoin an year back and today, it has announced that Basis program has failed and is returning back remaining capital to its investors.

basecoin

Basecoin is a stable coin, like HUSD, PAX and DAI, where value of each token is pegged to 1 USD.

Preston Byrne, a twitter user who posts often about cryptocurrencies wrote an article about stablecoins where he said that they are slated for failure.

While not all stable coins are doomed to failure, Basecoin was since it was not backed by assets.

Some users are really not happy with their exit.

Back in April 2018, Basecoin today raised a whopping 133 million dollars. Today, the company is returning back the investments of users but in ethereum.

Sounds awesome, right? The only major problem is ethereum has gone down from being a $900 coin to something that is less than $100 today.

What are your thoughts on this?

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