Straight Up Curt

Update on Recent Volatility Significant volatility has been observed for the $BONZO governance token, resulting in questions by the community related to the state of the protocol, ecosystem, and governance asset. A full report will be made available to the community and all questions answered, but the most pertinent information related to this situation is found below: 🔒 Protocol Status: Functioning properly, supplied funds are safe, and no security breaches or exploits have been observed. Monitoring will continue. 💼 No Internal Market Activities: Organizations associated with and contributors of the Bonzo Finance protocol are not participating in any of the market related events observed. 🌐 Ecosystem Impact: No observed impact on other supported projects / assets. ❓ What is happening? The current situation observed involves the natural process of liquidations for user position; in this case, a position which utilized $BONZO governance tokens as their collateral asset failed to maintain the positions health, in a volatile market, which resulted in liquidation. The liquidation process involves an ecosystem (non-Bonzo Finance owned) liquidation bot paying off loan positions that become unhealthy, seizing collateral, and oftentimes, subsequently selling collateral seized. As volatility increases, this has the potential to result in the liquidation of smaller positions. More information about liquidation bots and processes can be found in the Bonzo Finance documentation: docs.bonzo.finance/hub/get-s… The Bonzo Finance Labs team is aggressively monitoring this situation and working directly with a network of ecosystem partners to restore stability / balance; the team is committed to answering all questions of Bonzo Finance community members and will provide continuous updates on this situation as it evolves. The team fully understand the feelings of uncertainty right now and is committed to ensuring that the community is provided with ample support and transparency. Thank you