An internal dispute on the privacy-focused secret network has resulted in at least one validator throwing in the towel.
A key validator for a privacy smart contract layer 1 blockchain secret network has announced that it will no longer provide nodes and support for the network.
On January 29th, the leading validator, Smart Stake, announced that it would be shutting down its Secret Network validator node on February 21st.
Smart Stake cited “complex and stressful validator operations, cost/effort of validator operations and current events” as reasons for discontinuing the service. Smart Stake is a staking and validator service provider that supports multiple networks including Crypto.com, Polygon, Cosmos, and, until recently, secret networks.
The move comes in a revelation from Secret Labs founder Guy Zyskind about the financial transparency of the Secret Foundation.
On January 28, Zyskind publicly claimed that the foundation and its founder and CEO, Tor Bair, had “sold a large amount of USD worth of his SCRT (the Secret Network’s native token)” in late 2021. Did.
“Tor paid a good chunk of its revenue,” he claimed.
Zyskind also mentioned his $4 million inflow to the foundation in its fourth-quarter 2021 report, but no mention of a withdrawal.
“This action was not disclosed in any financial reports provided to the community by the Foundation, which was introduced by Tor as a non-profit organization on several occasions.”
However, Bear made his version of the event available on the Secret Governance forum the same day.
“Instead of paying out my vested tokens in December 2021, I converted my vested portion of tokens to USD at the OTC price and Secret Foundation distributed these funds as a dividend.”
He added, “This information is verifiable on our 2021 tax returns and has been previously reviewed by Labs, and we have previously shared this information with Labs.”
An ongoing internal leadership conflict has rocked at least one network validator vendor and the ecosystem community.