PANews reported on March 15th that, according to on-chain analyst Ember, an address (possibly a hacker?) that received 7400 ETH from Tornado orchestrated tonight's CAKE and THE collateral liquidation event, resulting in a liquidation shortfall of approximately $2.15 million for Venus (1.18 million CAKE + 1.84 million THE). Meanwhile, the hacker obtained approximately $5.07 million from Venus (2,172 BNB + 1.516 million CAKE + 20 BTC).

1. This address first received 7,400 ETH from Tornado through address 0x7a7...234, then deposited it into Aave to borrow 9.92 million USDT (including USDT, DAI, and USDC) as collateral, and then transferred it to multiple wallets to purchase THE.

2. Around 8 PM tonight, he likely drove up the price of THE on the CEX (he probably also placed long orders beforehand). Then, he deposited 36.1 million THE tokens into Venus through two wallets and lent out assets such as BTC, BNB, and CAKE.

3. 40 minutes later, the price of THE plummeted (most likely due to his closing of long positions and opening of short positions), his collateral on Venus was liquidated, further pushing down the price of THE. Ultimately, all collateral in both wallets was liquidated, but approximately $2.15 million (1.18 million CAKE + 1.84 million THE) remained unpaid, becoming a deficit in Venus.

In total, he borrowed 9.92 million USDT, but the assets borrowed from Venus were only worth $5.07 million USD. Although it doesn't make money on the blockchain, it's speculated that he manipulated the decline of THE through on-chain liquidation to make his position in CEX profitable.