‘Get your sh*t together’ – Cardano’s Hoskinson on this evolving feud

ambcrypto.com:

Cardano finds itself in the middle of an ongoing feud on Twitter. Two projects built on the Cardano blockchain are at each other’s throats, with both accusing the other of foul play.

Cardstarter and SundaeSwap are the involved parties here.

Cardstarter is a launchpad and accelerator platform that enables project access for early investors. In April 2021, Cardstarter announced the launch of Cardswap – a decentralized exchange pitched as the Uniswap of Cardano. On the contrary, the latter is Cardano’s first decentralized app (DApp).

Last year in April, Cardstarter launched its own decentralized exchange. After the announcement, investors were incentivized to provide liquidity for the project on Uniswap for (native) CSWAP tokens. However, CardStarter developers signed an agreement with SundaeSwap. This agreement was marketed as a merger in June.

According to the agreement, CardStarter would no longer focus on developing its decentralized exchange. Instead, it will provide liquidity to the SundaeSwap decentralized exchange.

Nonetheless, $CSWAP holders were led to believe the SundaeSwap deal would be “even better” for them. Fair to say now, $CSWAP liquidity providers were less than impressed.  And, this is where things went south.

According to a Reddit user, it wasrevealed that these so-called benefits would simply be a conversion from CSWAP to CardStarter’s native CARDS tokens.

“The team has 15M dollars of our liquidity now locked with them, and we now find out that our “great benefit” was just to get some more CARDS tokens at a ratio of 400 CSWAP to 1 CARDS – it’s practically a worthless benefit.”

This fueled a tense situation and soon, allegations concerning a “rug pull” and fraud began circulating within the space.