Breaking: SushiSwap Founder Returns $14m in ETH to Project Treasury

11 September 2020, 16:41 GMT+0000
Updated by Ryan Smith
11 September 2020, 17:12 GMT+0000
In Brief
  • Anonymouse SushiSwap founder Nomi Chef has publicly apologized for his role in the project's suspected exit scam.
  • Public reaction was broadly positive to the news despite his previous doxxing a week earlier.
  • Chef has promised to return $14 million in ETH to the project's treasury.
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SushiSwap founder Chef Nomi has announced the return of $14 million in ETH to the SushiSwap treasury and issued a public apology.
On September 5, the anonymous founder sold $8 million worth of SUSHI, leading to a panicked selloff that sent the price tumbling more than 50%. After selling 19,430 ETH in SUSHI from the SushiSwap dev pool, the founder came out of the transaction $14 million richer while the SUSHI market went into a tailspin. This sparked angry accusations of exit scamming from SUSHI holders. Writing on his Twitter account earlier today, Nomi apologized at length for his actions and appealed to the SUSHI community to keep the project alive.

Controversy, Doxxing, and Subsequent Apology

Following the initial blaze of anger surrounding the suspected exit scam, Nomi initially insisted that he had done nothing wrong and that he was still involved in the project. Before long, however, he was doxxed on social media, with his real identity revealed on Twitter and Reddit, including his full name, job history, and even his location. After days of uncertainty about what the next move would be, the SushiSwap founder decided to come clean on Sep. 11. In a lengthy apology, he blamed his actions on “greed” and his decisions “made under pressure.” He also publicly apologized to Binance and its founder Changpeng Zhao for “causing trouble” and posted evidence of the transaction returning the ETH to the treasury. Closing off his apology, he appealed to SUSHI users to keep on engaging with the community-run project instead of allowing his actions to put them off. At press time, the reaction to Nomi’s apology was broadly positive across the cryptosphere. BeinCrypto will update the story as it develops.

Disclaimer

BeInCrypto has reached out to company or individual involved in the story to get an official statement about the recent developments, but it has yet to hear back.