Content Directory:

· Curve Protocol suffers hacker attack, founder's position at risk of liquidation

· Founder has been repaying Aave debt for the past two months

BlockBeats News, on September 27th, according to DeBank data, Michael Egorov, the founder of cryptocurrency exchange Curve, repaid 356,000 USDT debt on Aave V2, and has cleared all debts on Aave. Since the end of July, the founder of Curve has received a lot of attention due to high leverage debt positions after being attacked.

Curve Protocol suffers hacker attack, founder's position at risk of liquidation

July 31, Curve Finance stated on social media that due to a recursive locking failure, many stablecoin pools (alETH/msETH/pETH) using Vyper 0.2.15 were attacked. On August 7, according to PeckShieldAlert monitoring, in the Curve pool, only ETH had approximately $73.5 million worth of cryptocurrency stolen in the attack.

Related Reading:

"Timeline | Vyper Compiler Malfunction, Curve Protocol Attacked"

"The vulnerability exploited by Curve this time may have opened up new ideas for hackers"

Due to the impact of the attack incident, Curve Finance TVL fell briefly on the day of the attack, with a 24-hour decline of 24.03%. At the same time, the CRV price also fell briefly, and Michael Egorov, the founder, saw a downward trend in the on-chain CRV collateral borrowing health rate.

Related reading: "Close to the liquidation line, the current status of Curve founder's $170 million position"

After the incident, many heavyweight industry participants sent "emergency funds" to Curve founder through OTC.

BlockBeats reported on August 11th that according to on-chain analyst Yu Jin, Curve founder Michael Egorov sold 13.75 million CRV to two institutions. Among them, 12.5 million CRV were sold to Binance Labs and 1.25 million CRV were sold to Accumulated Finance. Since August 1st, the Curve founder has sold a total of 157.4 million CRV to 33 investors/institutions, raising $62.96 million in funds through OTC sales of CRV.

Related Reading:

"Curve Founder Sells 72 Million CRV Through OTC, Who Bought Them?"

"Curve Issues Highlight the Symptoms of DeFi's "Yield Disease""

Founder has been repaying Aave debt for nearly two months

Over the past month, Michael Egorov has been staking CRV and borrowing crvUSD, which he then transferred to Aave to repay his loan debt.

On August 27th, according to on-chain data, Curve founder Michael Egorov borrowed 261,005.2 crvUSD by pledging 14.15 tBTC.

On September 26th, according to Scopescan, Curve founder Michael Egorov deposited 11 million CRV tokens (worth $5.73 million) into Silo and borrowed 1.8 million crvUSD. He then exchanged the 1.8 million crvUSD for USDT and DAI, using 1.55 million USDT to repay debt on Aave and sending 250,000 DAI to the xDAI bridge.

On September 25th, Michael Egorov transferred 23.26 million CRV (worth approximately $12.3 million) to Silo and borrowed 3.75 million crvUSD. This action caused the CRV TVL on Silo Llama to reach a historical high of $60 million. Egorov then exchanged this portion of crvUSD for USDT and repaid the debt on Aave.

Until September 27th, Michael Egorov finally fully repaid the debt on Aave. Will Curve finally escape the danger of the death spiral? BlockBeats will continue to follow up and report.

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