Solend introduces $50M borrow limit as whale account begins debt repayment

Solana-based DeFi protocol Solend has initiated a caller connection to bounds the borrowing connected the level to $50 cardinal per account; this is its 3rd connection successful the past fewer days arsenic it grapples with liquidity issues.

The protocol is looking to forestall a aboriginal recurrence of these issues done a caller connection introducing Account Borrow Limit.

According to the proposal’s details, immoderate indebtedness supra $50 cardinal volition beryllium eligible for liquidation careless of collateral value. However, the bounds simplification volition beryllium made gradually astatine $500,000 per hour, starting from $120 cardinal to $50 million.

Additionally, the connection includes impermanent measures specified arsenic reducing the “maximum liquidation adjacent origin from 20% to 1%” and “the liquidation punishment for SOL from 5% to 2%.”

The caller connection has a 24-hour voting play which Solend besides refers to arsenic announcement for borrowers to trim their get positions.

The protocol has precocious been successful the news over its archetypal connection to instrumentality implicit a whale account. The relationship had 95% of the funds successful the Solend SOL excavation aft borrowing implicit $80 cardinal USDC.

Solend whale begins indebtedness repayment

The team’s authoritative Twitter relationship announced successful the aboriginal hours of contiguous that “3oSE…uRbE has gotten successful interaction with the team, and we’re present successful talks astir mitigation.”

3oSE…uRbE has gotten successful interaction with the squad and we're present successful talks astir mitigation. Details volition beryllium shared soon.

— Solend (we're hiring!) (@solendprotocol) June 21, 2022

The whale (3oSE…) has begun repaying the indebtedness connected Solend and taking retired the collateral. A full of $24 cardinal USDC has been repaid arsenic of June 21.

The code presently has 4,501,945.77SOL collateral and 84,319,446.69 USDC+USDT indebtedness positions.

The station Solend introduces $50M get bounds arsenic whale relationship begins indebtedness repayment appeared archetypal connected CryptoSlate.