An user brought to attention the fact that 40% of all LINK available on AAVE has been borrowed sending the Interest rate up. No more than 1% has ever been used for the past 2 YEARS.
user exposed some of these were deeply linked to stEth trades and had seemingly shorted/sold the borrowed LINK days prior at lower prices before it skyrocketed against the market. Within 2 hours of the thread one of the whales payed back their 500k debt.
I will explain what this is about:
Cont.
All the VCs and CeFi lenders who did the copy+past eth 2.0 carry trade are now fucked.
The whole idea was that Eth 2.0 staking was going to net them about 4% APY. So they all did the following carry trade:
Borrow liquid token with low interest, sell, buy Eth/stEth which will give higher yield.
Except Chainlink announced 5% minimum APY on its own staking. This is CATASTROPHIC for a carry trade. Now add the fact that their stEth is illiquid. Now add the fact LINK is increasingly iliquid. Add the fact that their Cefi lenders are tightening due to this cascade of VC deleveraging.
This is why they have resorted to naked shorts on AAVE where they risk being seen. They are taking liquidity wherever it is.
They basically need LINK to plummet otherwise they are in trouble. However they seemed to have blown their load trying already. If LINK moons against eth even 40% more they’ll start getting liquidated in cascade.
Link escaped the bullmarket hype. VCs were never big on it. Retail was absent. It was only used as collateral in carry trades or for market wise shorts.
This means there is not nearly the same sell pressure and deleveraging for LINK as the bullrun favourites. They are seriously in trouble.
Whale here. Keep an eye on the charts tonight, we're just getting some others on board before we begin. We're all gonna make it.
All these shitty amateur projects are now going to have to sell their reserves for funding to stay alive or for profits while the market is crashing or down. Because they are incompetent. Thats additional sell pressure in a time little buy pressure exists. Its why ETH(a popular reserve token for many projects) is getting extra fucked.
Sergey on the otherhand sold through the bullrun. There will be no need to do so when the market is down and on lower buy pressures.
This is a further huge stress for these retards who fucked up. Now add the fact the free supply of LINK will shrink by almost 20% within months.
They have almost no time to escape this trade. Once some whales notice and hunt them its lift off
So is LINK going down more or what?
thanks for the hopium reddit spacing fag
Im phone posting u cuck.
If some whales hunt them its going to explode up. However if these fucks can find enough tokens to defend themselves by dumping against the strong inertia against them it can go down but the tide has definitely turned now at least till they get liquidated or give up
LINK is about to crash down to $4 along with the rest of the alt market, I don't see how these whales are "fucked"
Are linkies the new XRP schizos? Kek
>r*ddit spacing is older than r*ddit
I wonder who pushed this shit for years to create conflict for no reason. It's almost like newfags will fall for anything at this point. Snacks used to ban people like you for the lulz
Speaking of that shitcoin notice how its also been holding up well? Because the VCs all skipped it. It was not part of their over leveraged and ponzi copy paste trades
>notice how its also been holding up well?
user, I... What?
Checked
Look at XRP. Look at Litecoin. Look at fucking BSV. They are all pumping versus BTC and ETH because no one gave a shit about those coins during the bullrun so there is a lot less deleveraging going on now that we are in a bearmarket.
>You now remember W.T. snacks.
fuck, such nostalgia. I miss those days.
remember CLG faggot posting a chart with link targeting $222 in late 2021? also where is the 10x defi TVL?
chainlink team literally cashed out on peoples expenses while every other shitcoin was pulling a 10-50x
CLG you are the biggest loser alive, imagine shilling a project 24/7 just to rip off inexperienced investors. you didnt even hold link yourself over all this time, or atleast a measly stack of a few k link token. kys you little cunt imagine sucking the devils cock you will burn in hell nigger
based OP. Seems like we know there will be a decent amount of market buying of LINK on the 21st and 22nd. pump eeet
This the new pasta?
>nostalgin for Snacks
>9001 GET
He's still here with us in spirit. I'll head to Baltimore immediately and hand out booze to bums. Bless us every one.
youre a loser. get your shit together
>trusting a fat Jew
BCH is up 11%
Shut the fuck up you stupid fucking kike. Go the fuck back.
HOLO, BAT, NEO, QNT, EGLD, THETA, XLM, ADA... All obscure and/or 2017 shitcoins faring relatively well.
This is the cherry on top.
3.6 MILLION linkies (so far) on withdrawal on Bancor. And they only get around 60% of LINK, the rest in BNT. Absolutely everyone will rush to market sell that BNT and market buy LINK to get close to their original stack.
So expect around 1-1.5 million LINK market buys next week all at once.
Thread he's talking about is here:
Context including wallet addresses, on-chain confirmation and liquidation prices are in there.
Short squeeze will likely happen soon, as this info was hotly discussed yesterday here and on twitter. There's blood in the water and someone's going to start chopping very soon.
For fuck sake, hold link ONLY in your wallet -- get it off any CEXs or DEXs as soon as possible. The CEXs likely don't actually have enough Link to honour everyone without market buying at a loss if the liquidations begin. You'll likely be fucked if you hold on a CEX when the party starts. Don't do this to yourself when we're so close, user