Serum (SRM), backed by FTX, asserts its demise and promotes a fork in the chain.

Serum (SRM), a decentralized cryptocurrency exchange funded by the massive cryptocurrency exchange FTX, informed its 215,000 Twitter followers that the project is “defunct” and directed users to a community-led fork of the project following the dramatic collapse of FTX.

Potential Recovery Using a Serum Fork

Serum still has a fork called the OpenBook, which offers some hope.

“With the advent of Openbook, Serum’s volume and liquidity have almost completely disappeared.

The Final Strike for FTX Hack?

Serum’s code’s security is thought to have been jeopardized by the FTX exchange hack, which cost hackers more than $500 million earlier this month.

This is because the only people with “update authority” for the software’s core code were insiders at the FTX exchange. The now-defunct FTX exchange depended on Serum, its decentralized counterpart, for liquidity and trades.

The Serum’s code could not be safely updated in time to fix any possible flaws once the vulnerability was discovered.

Unfortunately, Serum’s volume and liquidity have almost completely disappeared with the creation of Openbook. After learning about security flaws in the original Serum code, users and protocols can use an alternative fork like Openbook without risk.
One of the Solana co-founders, Anatoly Yakovenko, suggested forking the code in response, along with a few other developers.

Finally, the chain was forked by Mango Max, who is also the creator of the loan project Mango Markets.

SRM Token To Be Put On Hold?

The company also talked about the Serum (SRM) token that it uses internally, claiming that its future is “uncertain” and that developers have suggested abandoning it due to its exposure to FTX and its affiliated trading company Alameda Research.

The community still suggests using it for discounts and fees in a few proposals, though.