TechFlow News: On March 15, on-chain analyst Yu Jin monitored that an address—which received 7,400 ETH from Tornado (possibly a hacker)—orchestrated tonight’s collateral liquidation events for CAKE and THE, resulting in approximately $2.15 million in liquidation shortfall on Venus ($1.18 million in CAKE + $1.84 million in THE). Meanwhile, the hacker withdrew roughly $5.07 million in funds from Venus ($2,172 BNB + 1.516 million CAKE + 20 BTC):
1. The address first received 7,400 ETH from Tornado via the address 0x7a7...234, then deposited it into Aave as collateral to borrow $9.92 million in stablecoins (including USDT, DAI, and USDC), subsequently transferring the funds across multiple wallets to purchase THE.
2. Around 8 p.m. tonight, the actor likely inflated THE’s price on centralized exchanges (CEXs) (having likely established long positions beforehand). Then, using two wallets, they deposited 36.1 million THE tokens into Venus to borrow assets including BTC, BNB, and CAKE.
3. Forty minutes later, THE’s price crashed—likely triggered by the actor closing long positions and/or opening short ones—causing their Venus collateral to be liquidated and further accelerating THE’s downward price movement. Ultimately, all collateral held in these two wallets was liquidated, yet approximately $2.15 million in debt remained unpaid ($1.18 million in CAKE + $1.84 million in THE), constituting Venus’s shortfall.
In summary, the actor borrowed $9.92 million in stablecoins, yet only withdrew assets worth ~$5.07 million from Venus. While this appears unprofitable purely on-chain, it is speculated that the actor profited by manipulating THE’s price decline through on-chain liquidations, thereby realizing gains on their CEX positions.
