The saga surrounding the current market manipulation assault focusing on dYdX, the main decentralized perpetuals alternate, continues to unfold, with the dYdX staff copping flak from decentralization devotees.

On Nov. 19, dYdX founder, Antonio Juliano, tweeted that the mission pays out bounties to sleuths serving to to uncover the id of the perpetrator behind an alleged Nov. 18 market manipulation assault.

The incident resulted in violent YFI liquidations and a $9M shortfall incurred by the dYdX protocol. Nevertheless, the mission mobilized belongings from its insurance coverage fund to cowl losses and guarantee no customers have been impacted.

Juliano added that dYdX has made “vital progress into figuring out the attacker” and that the staff is within the technique of reporting the data to the U.S. Federal Bureau of Investigation (FBI). The insurance coverage fund nonetheless holds $13.5M price of belongings after protecting the current shortfall.

The DYDX token is down 15% previously 48 hours to final change arms for $3.26, in accordance with CoinGecko. YFI is down 38% over the identical interval.

DYdX has attracted criticism for the way it has dealt with the incident, with onlookers accusing the mission of showcasing centralization in its response to the assault.

“DYdX has by no means actually been decentralized, it runs like a [San Francisco-based] fintech startup,” tweeted Kain Warwick, the founding father of Synthetix. “Decentralized tech is catching up and it’s onerous to pivot a tradition of top-down hierarchical decision-making processes.”

“On dYdX, in case you commerce too profitably, the devs put a bounty in your head and report you to the FBI,” stated Twitter consumer, Captain C2.

Juliano replied that there’s “vital proof” indicating the dealer was engaged in market manipulation. “That’s totally different than buying and selling profitably as per legal guidelines in principally all jurisdictions,” he added.

The market manipulation drama served as a dampener on dYdX’s current spectacular rally.

As of Nov. 16, the DYDX token had rallied 60% in a single week and greater than 100% in 30 days following the mission’s migration from a devoted Ethereum Layer 2 to dYdX Chain — a Cosmos-based appchain.

The beneficial properties have been fuelled by the introduction of a staking mechanism redistributing buying and selling charges to DYDX stakers, driving up demand for the token.