Home > NEWS > Aave purchases 2.7M CRV to clear bad debt following failed Eisenberg attack

Aave purchases 2.7M CRV to clear bad debt following failed Eisenberg attack

Following a failed short attack, DeFi exploiter Avraham Eisenberg was liquidated from Aave at a loss of $10 million.

According to a new post on January 26, Marc Zeller, the fusion responsible person of Aave, the Decentralized Finance (DeFi) loan agreement, said that the company had purchased 2.7 million Curve (CRV) tokens, which would also eliminate "the remaining excessive bad debts" according to more than a dozen transactions within 15 hours. This measure should be implemented after the cell has approved the Aave Improvement Plan (AIP) 144An exchange contract obtained 2.7 million units of CRV, with a dollar coin (USDC) expenditure limit of 3105000 dollars, and the main unit value of each CRV of 1.15 dollars.

The bad debt in the Aave agreement came from a complicated system vulnerability on November 23. Avaraham Eisenberg previously consumed the Mango Markets of the DeFi agreement, resulting in a net loss of $47 million. He carried out a series of short CRV positions on Aave, tried to plan to be short, and drove real estate developers to repurchase their positions at 100% price due to lack of liquidity.

However, in fact, the liquidity of Aave is much higher than expected. It is reported that Eisenberg lost US $10 million in investment. Even so, because of some delay in this matter, Aave owed a total of 2.656 million CRV of bad debt when settling Eisenberg's position

On the same day, Mango Markets filed a lawsuit against Eisenberg, requiring the People's Court to revoke its US $47 million reward agreement with the cyber hacker, because he played a role in the US $117 million attack on October 12, 2022. The Foreign Securities and Exchange Commission accused Eisenberg of stealing US $117 million of digital currency. Eisenberg was arrested by the CIA in Puerto Rico on December 27, 2022 for product control and product fraud

by wjb news
© 2023 WJB All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

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