The cryptocurrency market flash-crash on the 22nd of February liquidated DeFi loans that are valued at over $24 million. Meanwhile, the users of Compound represented over 50% of the calls from margins.
The crypto crash on 22nd February has triggered the 2nd largest volume of liquidations of DeFi in the history of the sector. They have forcefully closed loans worth over $24.1M within twenty hours.
DeBank is a data aggregator of crypto and has reported that almost 60% or $13.7M losses have taken place on Compound. After this happened Aave had liquidation worth approximately $5.4M.
DeFi Crash Is The Biggest In History
The liquidations of yesterday were the 2nd largest that hit decentralized finances and trailed behind margin calls of $93M which was activated by a sudden growth in the DAI prices on the 26th of November 2020.
This incident witnessed a surge in DAI by almost 30% on the Coinbase Pro which is a source of price oracle of Compound and liquidated over $88M valued crypto loan that was collateral on their protocol.
DeBank also reported that the drop was to $38.8B from $44.5M in the entire value locked since the last 24 hours. The decline of 12.8% indicates the biggest single drop in one day from the time the market of decentralized finances slid 15.4% that was on 21st January.
The rapid crash witnessed a decline in Ethereum to $700. In the meantime, other exchanges experienced a changing of hands that was nearly $1,400.
Big corporations which made big investments in Bitcoin also experienced a draw-down of multi-million during the DeFi crash on 22nd February and wiped off $9,000 from BTC prices. BTC prices are presently trading at roughly $50,800.