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Venus Protocol Ready For BNB Liquidation At $220

Key Points:

Venus Protocol said that the BNB Chain core team is ready.
If the BNB price reaches the liquidation threshold, it will take over the BNB position on Venus as planned.
The liquidator address has been prepared $30 million in USDT to refund the account loan, and more if needed.

The Venus Protocol, BNBChain’s biggest lending agreement, said that if the BNB price exceeds the liquidation level, the BNBChain core team will take over the BNB position on Venus as planned.

The liquidation address has set aside $30 million to settle the account debt, with more money available if necessary. There will be no BNB dumps, and there will be no gaps on Venus. According to the latest update from Coincu, this announcement has now been deleted on the project’s official Twitter page, indicating a potential for a possible liquidation, and the parties are working on a confidential agreement.

Venus DAO is a community-driven organization in charge of the Venus Protocol, a decentralized lending and borrowing network based on the Binance Smart Chain. The Venus Protocol enables users to borrow and lend cryptocurrency while also earning interest on their investments.

As Coincu reported, the BNB bridge has been compromised, putting Binance Coin in jeopardy, with a possible liquidation of $200 million on Venus Decentralized DAO looming if the price falls below $220.

Open interest, or the number of unsettled and active futures contracts tied to Binance’s BNB token, continues to rise, according to data tracked by Coinglass.

Total open interest rose to 1.62 million BNB ($360 million) on Monday, the highest since Jan. 1. The tally has increased by over 8% in the past 24 hours and nearly 27% in one week.

BNB’s going market rate fell to $225 early Monday, nearly matching the low registered on December 17. Prices have declined by 25% since the U.S. Securities and Exchange Commission (SEC) filed a lawsuit against Binance on June 5.

BNB price chart. Source: TradingView

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Harold

Coincu News

Harold

With a passion for untangling the complexities of the financial world, I've spent over four years in financial journalism, covering everything from traditional equities to the cutting edge of venture capital. "The financial markets are a fascinating puzzle," I often say, "and I love helping people make sense of them." That's what drives me to bring clear and insightful financial journalism to the readers of Coincu.