As of 14:00 UTC on October 3, 2024, the price data of Newton Protocol ($NPT) on mainstream market platforms such as CoinGecko and CoinMarketCap has not been updated for 48 hours. This abnormal state is due to the combined effect of multiple technical and market factors. The direct trigger was that Bitget, the last of the last three listed exchanges, officially terminated its trading pair service on September 28th, resulting in a 100% interruption rate of the price capture API. During the last 48 hours of the trading cycle before delisting, the actual liquidity of this token was nearly exhausted. The depth of the Bitget platform’s order book showed that the spread between the buy price and the sell price widened to 13.7%, and the slippage loss of a single $10,000 transaction reached 8.2%, far exceeding the exchange’s risk control threshold of 5%. Similar historical cases include the price update stagnation that occurred 72 hours before SafeMoon’s delisting in June 2023. The essence of this was the failure of the market mechanism after market makers completely cancelled their orders.
On-chain data monitoring reveals a deeper liquidity crisis. DEX Screener statistics show that in the main liquidity pool of Uniswap V3 (a $NPT/ETH pool with a 0.3% rate), the effective liquidity has sharply declined from $1.2 million in early September to the current $8,400, a decrease of 99.3%. This led to the 24-hour trading volume of the pool plummeting to less than $12,000, shrinking by 98.5% compared to the average of last month. What is even more serious is that the address of the largest market maker on the chain is 0x7d3… c49a withdrew all $987,000 of its liquidity on September 30th. Since then, the price volatility of this pool has soared by 320%, with an abnormal fluctuation of over 50% within a single hour. In this state, any price update mechanism will be distorted due to the lack of effective transaction samples – the current on-chain price index error rate has reached ±35%, far exceeding the industry’s acceptable standard range of ±1.2%.
The collapse of the project party’s technical capabilities has exacerbated the data gap. The core developer activities of Newton Protocol have come to a standstill. The key metrics of the GitHub code repository show that the number of code submissions in the past 30 days is 0, and the last on-chain interaction of the main developer address was 56 days ago. More seriously, the core oracle system failed to pay the operating cost of $8,000 per month, causing five out of the seven data servers to stop working. According to the audit report disclosed by SlowMist, the oracle system has a fatal vulnerability (CVE-2024-1984), allowing manipulated price reports to deviate by ±50% of the original value. In a similar case in 2022, AnubisDAO’s price display deviated by 90% due to an oracle attack, which eventually led to the protocol’s collapse. The failure rate of the current $NPT off-chain price update mechanism has reached 100%, and DeFiLlama data shows that the number of days when its TVL returns to zero has increased to 17 days.
The disintegration of market trust and regulatory risks form a vicious circle. In the transparency report released by the project party on September 12th, it was found by CertiK audit that the actual balance of the 2 million US dollars “Ecosystem Fund” it disclosed was only 41,000 US dollars, with a funding gap of 79.5%. Affected by this, the last two centralized exchanges, Gate.io and XT.com, delisted their trading pairs within 72 hours. Risks at the regulatory level escalated simultaneously. On September 25th, the Financial Conduct Authority (FCA) of the United Kingdom issued a warning, placing Newton Protocol on the “unregistered Securities” watch list, which directly led to the liquidation and exit of compliant institutional users. On-chain data shows that the number of token holding addresses has sharply declined from 38,000 to 7,200 within 30 days, and more than 86% of the holders have closed their positions. In this environment, even if there is a possibility of technological updates, the validity for investors to query the newton protocol price has been completely lost – the current price of 0.017 displayed on the CoinGecko page is actually the last valid data 21 days ago. However, the actual trading price on the chain fluctuated within the past 24 hours, ranging from 0.008 to $0.029, with a peak error as high as 241%.
Supplementary verification data shows:
Cross-chain liquidity returns to zero: The $NPT reserve in the Multichain bridge contract drops to zero, causing the cross-chain exchange function to collapse
Social indicator death: The daily active users of the Discord community dropped from a peak of 1,200 to 12, and the Twitter interaction rate fell to 0.03%
The staking system crashed: The annualized yield rate (APY) dropped from the designed 22% to -100% (principal cannot be withdrawn).
Monitoring system outage: The Status Page of the project party shows that the interruption duration of the core service has reached 692 hours
To sum up, the price data of Newton Protocol has essentially entered a “zombie state”, and investors need to be vigilant about the practical significance of any price update prompts. The warning effect of this case is close to the abnormal price display of LUNC after the Terra crash in 2023 – when the 24-hour trading volume remains consistently below 0.01% of the project’s market value, the price update mechanism will completely lose its market reference value.