Pac Finance, a lending app on Blast, has had its users report a $24 million liquidation on April 11 due to a sudden change in parameters by the developer wallet.
Mass liquidations are common for leveraged traders who borrow crypto, but they often occur due to fluctuations in the market, not protocol parameter changes.
Pac Finance LTV Change Leads to Liquidation
Pac Finance is a platform where crypto holders can earn interest by lending their assets. The app implements a loan-to-value ratio (LTV), which limits borrowers to loans equivalent to a certain percentage of their collateral to ensure repayment. Typically, the development team announces changes to the LTV beforehand.
However, on April 11 at 1:06 am UTC, according to Blast network’s blockchain data, a developer wallet changed the LTV for Renzo Restaked Ether (ezETH) to 60% without prior announcement. The sudden adjustment in LTV parameters has sparked concerns within the community following a $24 million liquidation just second
We współpracy z: https://cryptopotato.com/pac-finance-sudden-parameter-change-sparks-24-million-liquidation/
