Yearn Finance (YFI) Price Drops 43%, Triggering $5 Million in Liquidations
Yearn FInance's YFI token's 43% plunge prompts a $200 million market cap drop and $5 million liquidations, raising concerns....
- Yearn Finance's YFI token experienced a significant drop of over 40% in the last 24 hours, resulting in a liquidation of approximately $5 million.
- The price decline raised speculation about potential suspicious activities within the protocol.
- YFI's market cap also dropped by around $200 million, from $482 million to $296 million.
- Crypto traders holding YFI positions were liquidated for approximately $5 million, with $3.5 million from long positions and $1.42 million from short positions.
- The derivatives trading volume for YFI increased by 26% to about $2 billion, and open interest surged to approximately $162.54 million.
- Major exchanges, including Binance, witnessed significant declines in YFI token open interest positions and liquidations.
- The total value of assets locked in the Yearn Finance project decreased by around $6 million to $329.5 million.
- Observers speculate that project insiders may have caused the selling pressure, as nearly half of YFI's supply is held in 10 wallets.
- A significant whale transfer involving 446 YFI worth roughly $5.8 million was reported, with most of it being deposited into exchanges.
- Yearn Finance previously faced domain registrar issues in September, which temporarily prevented users from accessing the protocol through Yearn.fi URL.
- Yearn Finance is one of the largest DeFi protocols, with a peak TVL of over $7 billion in 2021.
The sentiment in the article is mostly negative, focusing on the significant drop in YFI token price, liquidations, potential suspicious activities, and domain registrar issues.