AC's new project Solidly contract has issues, Solidex also encountering problems! Should the SOLID WAR be fought or not?

The latest project by Yearn founder Andre Cronje, Solidly, has garnered significant attention since its launch, accumulating a locked value of approximately $2.3 billion to date. However, the project has recently encountered some issues, leading to the emergence of the Solidly War and sparking extensive discussions within the community. Let's take a closer look at what's been happening.

Get to Know Solidly Quickly

If we were to describe Solidly in one sentence, it can be seen as a combination of Curve + UniSwap V2, providing a variety of token liquidity pools on the Fantom ecosystem. By locking up SOLID tokens to obtain veSOLID similar to veCRV, holders can vote on liquidity pools to receive bribes and trading fee rewards. Liquidity providers can earn SOLID rewards.

Solidly Code Bug

However, according to Twitter user InvaderMeerkat, there is an issue with the distribution of SOLID tokens in the Solidly contract, with the current distribution being 49 times the expected amount.

Due to the soft cap limit of 100 million SOLID tokens, this contract bug allows for a 49 times excessive distribution, causing the 100 million SOLID tokens to be distributed much faster than expected. As the tokens are distributed, the liquidity incentives for SOLID tokens will slow down, putting the platform's liquidity to the test.

As of now, there has been no official response to this issue, and founder AC's Twitter account is currently inactive.

According to FTMScan data, gas fees on Fantom are currently very high, and transactions are quite congested, as many people seem to be rushing to participate in AC's new mining pool to gain early bonuses.

Will a Solidly War Unfold?

Since Solidly has many features similar to Curve, it is inevitable that a SOLID token battle similar to Curve War will arise, as the more SOLID one holds, the greater the voting power. Currently, there are two projects in competition for SOLID token shares in the Fantom ecosystem, namely Solidex and 0xDAO.

However, 0xDAO has not officially launched yet and is expected to open soon. Let's first discuss the features of Solidex. Users who provide liquidity on Solidly and receive LP tokens can stake them on Solidex to earn higher SOLID and additional SEX Solidex platform token rewards.

One unique aspect is that users can convert SOLID on the platform to SOLIDsex similar to cvxCRV and stake it to earn more SOLID and SEX rewards. This increases profits for SOLID holders, and users' SOLID tokens are not subject to locking and can be exchanged back to SOLID on Solidly. Additionally, after locking up SOLID tokens to obtain veSOLID on Solidly, users must vote on the liquidity pool to receive rewards, while Solidex is simpler in operation.

Moreover, the acquired SEX tokens can be used to form additional liquidity for compounding, and can also be staked on the platform to earn voting rights as vlSEX, to receive platform transaction fees, bribes, and SOLIDsex rewards.

Check out the Solidex operational guide released by the YouTube channel "Talk East and West":

Solidex Code Bug

According to Solidex's report, there are significant issues with the Solidex contract. Originally, platform users could vote on liquidity pools with their vlSEX to increase the Solid rewards the pool could receive. However, an error in this part of the contract resulted in only two pools, SEX-WFTM and SOLIDsex-SOLID, being able to vote and receive liquidity incentives.

This has also led to Solidex's partners not receiving any SOLID distributions this week since the issue was discovered on the 24th, causing significant selling pressure on SEX, which has dropped by about 60% from its all-time high.

However, Solidex has stated today on Twitter that the voting issue has been resolved, without providing details on the improvement.

Furthermore, its biggest competitor 0xDAO, if launched soon, will pose an even greater threat.

AC's long-awaited project has finally been officially launched, but it seems that there are numerous issues with the Solidily project itself and its surrounding ecosystem. We eagerly await AC's return to Twitter and the presentation of solutions to dispel investors' concerns.