Perpetuals Exchange Dango To Shut Down After Less Than Four Months

Dango, a perpetuals exchange built on its own Layer-1 blockchain, announced it will wind down operations, halting trading on July 29 and shutting off its blockchain entirely on August 13. The team said in a Thursday post that despite its best efforts, there was no viable path toward lasting commercial success, adding that user funds remain safe.

Wind-Down Plan Returns Funds As USDC

Withdrawal limits will be lifted immediately, with users urged to close positions given thin liquidity conditions. When trading halts on July 29, remaining positions will close at oracle prices and all funds will be returned as USDC to user accounts. Once the chain shuts down on August 13, any remaining deposits will be refunded to Ethereum addresses.

Early Exploit Marked A Rocky Start

Dango launched its mainnet in early April but faced an exploit within days, when an attacker drained USDC collateral by exploiting a flaw in the insurance fund’s logic. Most of the funds were recovered after the team paused the chain, and the attacker ultimately returned everything in exchange for a bug bounty. The exchange, backed by Hack VC and built by Left Curve Software, had $1.77 million in total value locked at the time of the shutdown announcement, operating in a perpetuals market increasingly dominated by larger platforms like Hyperliquid.