I am currently working on a long-form document to demonstrate that Band Protocol cost me about USD $10,000 today.
As an oracle, Band Protocol has one job: provide good data.
Band Protocol is paid by Mirror Protocol and indirectly the users to provide good data.
As everyone I suffered heavy losses following the collapse of Terra Classic.
I saw what happened over the week-end with some mAssets and I took some actions taking into account the rules of the protocol and assuming that the oracle would be trustless and transparent.
At 9:30 am (EST), Band Protocol was still reporting on its website that GLXY was part of its feed to its partner Mirror Protocol. Band Partners
What I did not know, is that in the background, without notice and behind a black box, Band Protocol decided that it would not update the price of GLXY when the TSX would open.
Band Protocol failed to act as a decentralized, secure and trustless oracle. Band Protocol decided that passive users should have their money saved and to cost a lot to other users that acted quickly to have a shot at recovering some losses and that played by the rules.
Band Protocol decided to bypass Mirror’s governance system. It decided who would win or lose.
From now on, Band Protocol cannot be trusted as an oracle for DeFi applications. There is now a precedent showing that it will not hesitate to intervene and act based on its own vision of what is right or wrong. That is pretty scary. What would happen if someday Band Protocol has a financial interest to not report a certain data or to report bad data? If it acted like God today, why not another day?
I took videos of everything and I am currently drafting a long-form report. All the losses I incurred today can directly be linked to Band Protocol actions.
Why not give notice that you would not update the price of GLXY? Why not act as you are intended to act when you are the oracle?
DeFi cannot happen without real decentralization. Losing money because of decentralization is part of the game. Losing money because a party claiming it is decentralized took action and rekt me is not acceptable.
If you suffered losses because of Band Protocol today, please DM me. We can take action.