The leading cryptocurrency is trading at $66,700, and altcoin sales have weakened. One of this week’s most significant developments was the UwU Lend attack. The Curve CEO made important statements to clear up misinformation. What did he say?
UwU Lend Hack
The Curve CEO spoke about the UwU Lend hack and the CRV token burn. Michael Egorov has been in the spotlight during many market downturns. Speculative traders targeting the liquidation price of his DeFi position have often triggered significant losses in the CRV Coin price through social media discussions.
Egorov made the following statements regarding recent events:
“This was not an exploitation of Curve Finance. It was an exploitation of a separate project (UwU Lend). As part of the cash-out game, the hacker deposited the CRVs taken from UwU into lendcurvefi (LlamaLend) and disappeared with the funds, leaving the debt in the system.”
To prevent similar attacks in the future, he suggested “revalidating all contracts and having them reviewed by good security auditors.”
CRV Coin Burn
There was a lot of misinformation, which also triggered recent CRV Coin price fluctuations. Egorov made statements on this matter as well. These statements were crucial to preventing the spread of false information on social media:
“This information was tweeted by a fake (impersonator) account, accompanied by a scam link. Several journalists did not verify the news and published it.”
So, what are the positions of the Curve CEO?
“The CRVs sent as collateral for loans likely accounted for about 30% of the circulating supply; half of this was in Curve, so indeed some doubtful receivables were formed. It was already repaid. No one was affected. For smaller cryptos (e.g., not BTC or ETH as collateral), debt ceilings should probably be provided; data shows that Curve-specific markets can be well parameterized to withstand these conditions.”
Egorov also mentioned that steps could be taken regarding open-source liquidation bots in the future.
“It seems the industry’s heavyweights did not fully know how to handle liquidations; they did not attempt partial hard liquidations for my position in Curve. I had to do it myself in the end. In the future, this area could be better with open-source liquidation bots.”
