Alameda liquidation account tracking: more than ten million dollars in losses have been caused after the liquidator took over

Foresight News

特邀专栏作者

2023-01-17 11:30

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Compilation of the original text: Karen

After analyzing the Alameda Research liquidator wallet data, the encrypted data analysis company Arkham found that the account had caused a total of approximately $11.5 million in liquidation losses to Alameda DeFi positions. In addition, on November 8, 2022, Alameda shorted at least 8 figures worth of ETH when the company went bankrupt.

Arkham's specific analysis is as follows:

On January 14, the Alameda Liquidator account starting with 0x997 was liquidated for more than $1 million on Aave on the Optimism network. It was the latest in a series of liquidations on the account under the control of liquidators for almost two weeks.

In the past two weeks, under the control of the liquidator, the account suffered significant losses. The largest single liquidation value was around $4.85 million, the total liquidation amount was $11.5 million, and the avoidable loss was more than $4 million.

Two weeks before being taken over by the liquidator, the 0x 997 address held a short position of 9,000 ETH (approximately US$10.8 million), with collateral of US$20 million in USDC and US$4 million in DAI, with a net balance of US$15.2 million.

As of today, the account's current value is $1.1 million in short Ethereum and $1.4 million in USDC, for a net balance of $0.3 million.

Today's Alameda liquidator's account assets are not liquidated for the first time. At the end of December, Alameda liquidator moved out assets to deal with the attack for about 30 hours. Extract from and send to the address starting with “0x 7 b 7 ” on Optimism.

The removal of 7 million USDC and 4 million DAI from Aave made the address close to the liquidation price. After that, 11.4 million USDC was sold to the liquidation robot on Optimism, and the Aave treasury also collected over 100,000 USDC as liquidation tax. The total liquidation value was $11.5 million.

But surprisingly, the transaction to remove the assets from the wallet happened before or during the liquidation. In the middle of two clearing transactions, account 0x 997 transfers 5-digit OP to account 0x 7 b 7 .

In Aave, users can immediately request liquidation by selling their collateral. If this function was called, instead of withdrawing excess collateral from the wallet, the value of 15 million US dollars would have been retained instead of the current withdrawal of about 11 million Dollar.

On the Ethereum mainnet, the liquidator initiated two transactions from the 0x979 wallet:

Send 0.03 ETH Gas to another wallet;
Send 1770 BUSD to the central multisig.

Addresses starting with 0x7b7 do not have any transactions on the main network.

Assuming addresses starting with 0x7b7 are also controlled by liquidators, the pattern of removing excess collateral from active positions is in line with their usual behavioral patterns. Assets from other Alameda liquidator accounts on networks like BNB Chain are also sent here.

Where did the 9,000 ETH originally borrowed from address 0x997 go? The 9,000 ETHs were immediately transferred to the Binance Exchange after the position was opened. Assuming direct selling, the value of nearly 14 million US dollars can be obtained. This also meant that on November 8th Alameda shorted eight figures worth of assets during a crash event that led to its own destruction.