DAOUSDT
DAO Maker / Tether USD
cryptoComposite

Hey r/defi! Thanks for all the feedback and support over the past few weeks. Our team is now ready to open [Beluga Financial](https://beluga.financial/) to users. We’ve built a platform for non-custodial investment advice, where advisors can share advice and propose trades for other users. It runs on Solana, with support for Raydium and Pump.fun. We’re still early, and the UX has some rough edges, but we’re excited to get it into people’s hands and keep improving it. We’re looking for users of all experience levels, especially people interested in becoming crypto advisors and helping others evaluate investments and trading opportunities. Longer term, we plan to transition ownership of the on-chain programs and responsibility for their development to a DAO, alongside a token launch. The UI and servers would remain privately developed so our team can iterate quickly and respond to user feedback. If you give it a try, we’d love to hear what works, what’s confusing, and what you’d want us to build next.

I'm anti-crypto, but to be fair that's how real world fraud works too. Trad-fi deals with it in a lot of ways, like requiring identities, using the justice system, mandatory security/asset audits, and restricting some freedoms like stopping a bank account from being completely drained in one go. What disappoints me though is when eth came out I really thought it would let crypto devs build their own versions of this stuff in a way owned by the people. Like on chain reputation systems and identity confirmation, FICO style bail outs, crowd sourced fraud detection, reversible transactions, etc. Early on there was cool stuff like the DAO and a few investment/insurance services but after the DAO hack every gave up and made shit coins, and literally nothing else.

>The detour through lending protocols was particularly clever. On Aave, the largest decentralized lending platform, the attackers deposited about 60 million USDT as collateral and borrowed nearly 19,800 ether worth about $44 million in return. The trick: The USDT then sits in Aave’s pool rather than at an address controlled by the attackers that Tether could block. The borrowed ether, on the other hand, belongs to the attackers and cannot be frozen. They do not care that they will never repay the loan. On the Tron blockchain, they followed a similar pattern with 300 million USDT on the JustLend platform. > >Aave responded about 40 minutes after the loan and froze its markets. According to Cointelegraph, the freeze covered 175 markets in version 3 across 16 blockchains and 117 markets in version 4 across four blockchains. Users can still withdraw funds and repay loans, but new deposits and borrowing are blocked. The risk analysts at LlamaRisk warn that a prolonged freeze could push up borrowing rates. The Solana platform Kamino also paused borrowing in one of its markets as a precaution, even though it said it was not affected. https://www.trendingtopics.eu/binance-hack-defi-tether-circle-freeze/ Aave presumably has no clawback mechanism on the ether they lend out. I guess the ETH community could agree to another transaction reversal like they did in response to the DAO hack a decade ago. Think very carefully before buying crypto in the coming days.

It matters why. There was a smart contract exploit, that's why they rolled back (2016 DAO fork).

Or they can arbitrarily decide to censor funds themselves. Perhaps this is done for reasons like we saw in the DAO hack. Or course for reputational reasons they will try and limit censorship and claw backs unless ordered to