Announcement of Cadabra Finance stopping

Official Announcement on the Sunset of Cadabra Finance

Dear Cadabra community,

After careful consideration we have decided to sunset Cadabra Finance for economic and operational reasons. Below you will find a detailed timeline and an explanation of what will—and will not—change on-chain.

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Rationale:

Over the past two years, our team has dedicated substantial time and resources to building both Cadabra 1.0 and Cadabra 2.0. Despite these efforts, the project has not become profitable, and the team has not earned any income from its operation. Multiple attempts to grow the community and attract attention through marketing and development initiatives did not bring the results we hoped for. The most time consuming part for our Dev team is creating and supporting external protocols integration especially the migrating liquidity among several protocols with the high level of security. After carefully assessing the return on investment for all our activities, it became clear that continuing was not sustainable. We decided to not follow the strategy related with the selling our tokens to pay salary for the team because it would lead to extensive ABRA token price dump without predictable bright future of the token and project itself. We acknowledge and accept that our own investment in the creation and development of Cadabra project was a failure, both in terms of time and financial resources. We have not applied any part of this failed investment to our users, as we have not sold a single ABRA token from the pools available to us in terms of tokenomics, which could have negatively affected its price.

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Given the above, we have decided to proceed with the following steps:

1. We've burned all tokens which belong or available for Team, both at hand and vested. We declare again - we have not sold/spent any single token which belongs to the following categories: Investor Fund, Core contributors & grants, Team fund described in separate page. And now we burn it.

Burn transactions: https://bscscan.com/tx/0x520e8020f9dbf98595c23cdc6b75ceccb5aa21554b9f8816826b907a1e339de6 https://arbiscan.io/tx/0xfb26374764648323de8be9cd6e964377791e05503be5e439c063f3a45ce6b752 https://sonicscan.org/tx/0xd7c04b6e06bd4be8b6966ac0417b578f6dd0a290dc76ef2d61a0efbd9422f3d0 https://bscscan.com/tx/0x90960200840121a29cba449b63ed7675af8dceddf45dc5762fbbd0bf85f3c17d

2. We will give the ability to unlock all veABRA.

Every existing ABRA lock can be unlocked at any moment, even if it was initially created for four years. When you unlock, your underlying ABRA becomes freely transferable—no penalties, no fees.

3. End of automated operations

• Liquidity rebalancing (which reallocates funds inside a strategy at the start of every epoch) is an admin-only function for security reasons and will be stopped after June 27, 2025. It is not technically possible to make it fully working the automated (or in smart contracts) way due to the security reasons.

• Epoch roll-overs (synchronisation, emission, UPR distribution) will keep running for roughly another month while our automation is active. Once we shut the bots down, any address may call the related public contracts' methods, to synchronize epochs.

• Because locks are now freely redeemable, future voting turnout (which normally steers emissions and rebalancing) is uncertain.

4. The website will continue working until August 1st, 2025. You'll be able to freely withdraw liquidity from strategies, claim unclaimed ABRA and Underlying Protocol Rewards, and unlock any remaining locks.

5. After August 1st, 2025 the web-site will be switched to read-only mode (or we will create separate page) where you can only withdraw your liquidity. We will send more details and instructions later.

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Important Information About Voting and Governance.

The voting system played a key role in distributing liquidity between protocols and determining the emission share for each strategy. Given that any holder of locked tokens can now unlock them, we cannot predict how voting will function in the future. However, voting contracts will remain active, and the community can continue protocol governance if they wish.

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Future of the ABRA token

The ABRA ERC-20 token and every Cadabra V2 contract will remain deployed on the supported chains. ABRA itself can still be transferred, traded or integrated by third-party projects, but without our ongoing support, its future is uncertain.

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Our journey & gratitude

Since launching Cadabra 2.0 we set out to give liquidity providers “set-and-forget” yield strategies, an open voting market and utility token. We could not have done any of it without your feedback and the countless votes you cast every Thursday. Thank you for your effort and acrtivity.

For higher transparency we declare that Cadabra team will not implement or start any new project/protocol in crypto area in near future.

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Important reminder

Please unlock your ABRA and withdraw your liquidity as early as possible. Do not wait for the last day.

With sincere appreciation,

The Cadabra Finance Team