I am a bit new to GRO, so trying to understand things. I put in some $$ in the vault 1.5 weeks ago, and today I see the amount if down ~25% and the VAULT is not advertising any APR. I see no notice anywhere on what has happened. On the dashboard it shows this ~25% amount as Total Net Returns, but I also don’t this money anywhere listed. Can someone point me in the right direction to help understand this more. Thanks, -Jason
There was a CREAM exploit on Wednesday afternoon (UTC). Since Gro Protocol had 15% exposure in CREAM strategies and that we have not heard back about the exact extent of loss, we had to write down the strategies to zero in order to realise losses on Vault so that the loss was evenly spread across all Vault holders. This resulted in a 22% write-down - it’s higher than 15% since Vault protected PWRD in this case and absorbed the loss.
Our dev team is following up with CREAM to understand the exact losses and how much we could get back (e.g., borrowers paying back to CREAM on loans made before). We’ll post updates in our discord and telegram once we have news!
Hope this helps!
Thanks for the update, I will subscribe via telegram for the future. I am curious if this has happened before. Such defi strategies seem quite dangerous if 21% can be wiped out so fast. Thus any small interest gains don’t seem worth the risk at least with Vault.