Venus Protocol has suspended lending and withdrawals due to unusual activity in the $THE liquidity pool, suspecting a flash loan attack. The community is concerned about the liquidation of 42 million $THE, questioning the security of decentralized finance.
Due to this unusual situation, Venus Protocol has suspended all lending and withdrawal operations related to $THE. Concerns have arisen regarding the potential exploitation of flash loans by attackers targeting the $THE and $CAKE liquidity pools. The community speculates about a liquidation of up to 42 million $THE, which reportedly represents a total value of 14 million USD. Blockchain observers point out that attackers may have manipulated the $THE liquidity pool under low liquidity conditions to artificially inflate prices. This collateral-based manipulation has raised questions about the security of decentralized finance.
