Abracadabra Proposes Wind-Down That Could Leave MIM Holders With 4 Cents
The proposal would liquidate remaining collateral, convert it to Ether and distribute proceeds to MIM holders pro rata.
Abracadabra has proposed winding down MIM, a move that would leave holders with roughly four cents for every dollar if the remaining collateral is distributed as planned.
A Snapshot vote would liquidate the protocol’s remaining collateral, convert the proceeds into Ether (ETH) and pay MIM holders pro rata. The proposal estimates about $900,000 in recoverable backing against roughly $21 million in bad debt.
That gap implies a recovery of approximately 4% of the outstanding amount, before any costs or changes in collateral value. The proposed payout would therefore be based on the assets recovered during the wind-down rather than a return to the token’s original value.
The plan remains a proposal pending the Snapshot vote. If approved, the collateral liquidation and Ether conversion would determine the amount ultimately available for distribution to MIM holders.
