Opaque DeFi protocol Venus braces for $150M BNB liquidation
DeFi lending platform Venus Protocol, which operates in the BNB Chain ecosystem, is bracing against a significant position in Binance Coin (BNB) that’s on the brink of liquidation as the token’s price spirals — which could cause significant problems for Venus. The position was made by hackers after a major exploit of the BNB bridge last October. Attackers leveraged Venus Protocol to borrow $150 million in stablecoins with a position of 900,000 BNB ($210 million at time of publication). Since the position was made, crypto prices have fallen — bringing it very close to its liquidation point. If BNB’s price falls below $220 it will likely trigger liquidation. At press time, BNB has fallen 23% in the past week, from $300 to $233, in large part due to the Securities and Exchange Commission’s (SEC) lawsuit filed against Binance last Monday. Venus’s plan for major BNB position A proposal was passed in November in order to safeguard against this very moment. If the position ...