One of Solana's top 5 DEXs, Lifinity, announces closure; community votes to approve asset distribution plan

2025-12-19 05:38:15

【ChainNews】The Solana ecosystem DEX project Lifinity announced the official start of the shutdown process. This decision was made based on an overwhelming community vote, amid increasing competitive pressure from prop AMMs.

According to the governance proposal, approximately $42 million in assets are pending in the Lifinity DAO treasury. The protocol will convert these funds into USDC and distribute them to LFNTY token holders proportionally. In addition, the team’s reserved $1.4 million development fund will also be included in the distribution plan. The community’s preliminary estimate suggests that each token will receive between $0.90 and $1.10, depending on the final book value.

For holders wishing to redeem, the project recommends first converting tokens from LFNTY or veLFNTY to xLFNTY. The plan is to launch the USDC withdrawal feature for xLFNTY in approximately 9 days, subject to passing security audits.

As a reference, since its launch in February 2022, Lifinity has processed over $149 billion in trading volume, once ranking as the fifth-largest DEX in the Solana ecosystem by trading volume. This shutdown also marks another reshuffle in the competitive landscape within the ecosystem.

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MEVictim

· 12-21 17:29

Another one bites the dust in the Solana ecosystem, let's consider this a lesson learned.

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BridgeNomad

· 12-19 12:15

another tvl migration postmortem incoming... lifinity couldn't compete with the prop amm arms race, honestly saw this coming from a mile away. liquidity fragmentation at its finest

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BetterLuckyThanSmart

· 12-19 06:06

Another one has died... The competition in the Solana ecosystem has really pushed to the edge of the sky.

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AlwaysQuestioning

· 12-19 06:00

The Solana ecosystem elimination race is getting fiercer, another one falling behind. It's another vote to cut, community democracy but also quite brutal. prop AMM is really competitive, can Lifinity withstand it? Does this asset allocation plan harm investors? It feels a bit awkward. The promised community governance, in the end, it's still survival of the fittest.

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SybilSlayer

· 12-19 05:40

Another one gone in the Solana ecosystem, prop AMM is indeed fierce.

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SchrodingersPaper

· 12-19 05:38

Another one has fallen. The competition in the Solana ecosystem is really damn brutal.

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