$100 Million Liquidated on Defi Protocol Compound Following Oracle Exploit

An apparent error or malicious attack to the Dai-dollar-peg data supplied by the Coinbase oracle pushed the price of the stablecoin to about $1.30 – a premium of 30% – leaving some users on Compound gets its pricing data from Coinbase Pro. Compound, the third-largest defi platform, allows users to borrow funds such as Dai from each other.

For example, if a Compound user borrowed the equivalent of $100 in Dai, and then the price of the stablecoin rose to $1.30, it means the user’s borrowed amount has also increased to $130. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

Timeline of Compound