Odaily Planet Daily reports, according to on-chain analyst Yujin, an address that received 7,400 ETH from Tornado (possibly a hacker) orchestrated the collateral liquidation events for CAKE and THE tonight, resulting in approximately $2.15 million in liquidation losses for Venus (1.18 million CAKE + 1.84 million THE), while the hacker withdrew approximately $5.07 million from Venus (2,172 BNB + 1.516 million CAKE + 20 BTC):
1. This address first received 7,400 ETH from Tornado via the address 0x7a7...234, then deposited it into Aave to borrow 9.92 million U (including USDT, DAI, and USDC), which was subsequently transferred to multiple wallets to purchase THE.
2. Around 8 PM tonight, he likely pushed up the price of THE on a CEX (possibly after establishing long positions). He then transferred 36.1 million THE tokens into Venus via two wallets and borrowed assets such as BTC, BNB, and CAKE.
3. Forty minutes later, THE's price crashed (likely due to his long position being liquidated and a short position opened), causing his collateral on Venus to be liquidated and further driving down THE's price. Eventually, all collateral from both wallets was liquidated, but approximately $2.15 million in outstanding loans (1.18 million CAKE + 1.84 million THE) remained unpaid, resulting in a shortfall for Venus.
Overall, he borrowed 9.92 million U, but the assets he lent out on Venus were only worth $5.07 million. While the on-chain activity alone does not appear profitable, it is speculated that he profited from his CEX position by triggering on-chain liquidations to drive down THE’s price.