I was hit hard by this.
**only my personal investments. My company and project aren't affected.
I put an outsized portion of my crypto net worth (that is, basically all of it) into Stream because I had an acquaintance with the team and decided they were good people. I trusted them so much that I didn't withdraw after 10/11 (the team said in Discord that they didn't lose anything in the crash and in fact made money; I believed that), nor after the Cbb FUD. I should listened to the FUD.
Now, it's unclear whether the "$93M lost" means 93M out of the $162M user deposit, or out of the ~$520M AUM (the team had used "looping" to inflate the AUM to that), how the remaining funds will be used (will the lenders on Euler/Morpho/Silo be paid off first before xUSD depositors? It seems Stream has a special creditor agreement with Elixir; will it be honored?), and when (in the coming weeks or in 3 years?)
Depending on these questions, this looks like the best case a 20% haircut for me, or the worst case close to a total loss. The latter case, it would be the second time I lose everything in crypto, after the Terra collapse. I truly had learned nothing from that.
All I hope for now is this is resolved soon and doesn't go like FTX, where the case drags on for years while the bankruptcy lawyers milk hundreds of millions of dollars from whatever is left.
Anyways, again, this is only regarding my personal finance. My project (Dango) isn't affected. I will keep building, in fact build harder as I'm now completely out of ammo (only $600 or so left in my wallet) and building the project is the only way I can make it back.
Yesterday, an external fund manager overseeing Stream funds disclosed the loss of approximately $93 million in Stream fund assets.
In response, Stream is in the process of engaging Keith Miller and Joseph Cutler of the law firm Perkins Coie LLP, to lead a comprehensive investigation into the incident.
We are actively withdrawing all liquid assets and expect this process to be completed in the near term
To keep our stakeholders informed, we will provide periodic updates as additional information becomes available. Until we are able to fully assess the scope and causes of the loss, all withdrawals and deposits will be temporarily suspended. Any pending deposits will not be processed at this time.
Our decision to retain Perkins Coie LLP reflects Stream’s unwavering commitment to transparency and robust corporate governance.
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