Suspected hacker address responsible for CAKE and THE liquidation events, Venus incurs a $2.15 million shortfall

Gate News, March 15 — According to on-chain analyst Yu Jin, an address that received 7,400 ETH from Tornado (suspected hacker) led tonight’s collateral liquidation events of CAKE and THE, resulting in approximately $2.15 million in liquidation losses on Venus ($1.18 million CAKE + $1.84 million THE). This address obtained about $5.07 million in funds from Venus (2,172 BNB + 1.516 million CAKE + 20 BTC).

The specific process is as follows: 1) The address received 7,400 ETH from Tornado at 0x7a7…234, then deposited into Aave to borrow $9.92 million (including USDT, DAI, USDC), and transferred to multiple wallets to buy THE; 2) Around 8 PM tonight, the address allegedly pumped THE price on a certain CEX, then deposited 36.1 million THE into Venus via two wallets, borrowing assets like BTC, BNB, and CAKE; 3) Forty minutes later, THE price plummeted, and the collateral on Venus was liquidated, pushing THE’s price further down. Ultimately, the collateral in both wallets was fully liquidated, but about $2.15 million in debt remained unpaid, creating a shortfall on Venus.

Analysis suggests that the address borrowed $9.92 million on-chain and lent out assets worth $5.07 million on Venus. From an on-chain perspective, there’s no profit, leading to suspicion that the address manipulated THE’s decline through liquidations to profit from positions on a certain CEX.