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DAI Price Increase Caused $103 Million Compound Liquidations
Summary: According to Bitpush, the price increase in DAI caused massive liquidations at DeFi protocol Compound. The protocol liquidated $103 million worth of collateral. This also caused $8 million worth of liquidations at dYdX. The liquidations occurred because DAI's price momentarily increased by 30% on Coinbase (source of Compound's price oracle), which led to under-collateralized loans ...
According to Bitpush, the price increase in DAI caused massive liquidations at DeFi protocol Compound. The protocol liquidated $103 million worth of collateral. This also caused $8 million worth of liquidations at dYdX.
The liquidations occurred because DAI's price momentarily increased by 30% on Coinbase (source of Compound's price oracle), which led to under-collateralized loans on the protocol. The increased DAI price also increased the value of DAI borrowed on Compound, as compared to the collateral provided.
By Liang Che
Tags: Compound,Dai,DeFi
Link: DAI Price Increase Caused $103 Million Compound Liquidations [Copy]
