Alpaca, one of the most innovative protocols of BNB Chain, has decided to close the curtains on its operations. On Monday, in a seemingly tragic and regrettable post, Alpaca Finance announced “sunsetting” the protocol and all its products. With no VC funding, the project went on to become the top BNB Chain protocol with the Total Value Locked (TVL) exceeding $900 million at its peak in early 2022. However, by May 2025, the TVL had declined sharply to stand at meagre $54.6 million. This is massive a drop of over 94%. This article examines the reasons that led this once a star of DeFi to ruins. Alpaca Finance Ceases Operations Why Alpaca Finance Shut Down This announcement of winding up by its operations by Alpaca Finance was somewhat predictable since April 25. On April 25, the leading crypto Exchange Binance decided to delist the DeFi Protocol’s token $ALPACA. This came… Read More at Coingape.com
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