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Ethereum Whale’s $1.7B Exit from Aave Triggers DeFi Liquidity Squeeze

Summary by cryptotale.org
Justin Sun was reportedly behind the $1.7B Ethereum withdrawal, which triggered liquidity issues. Aave’s borrowing rates spike after massive Ethereum outflows, affecting DeFi strategies. The DeFi ecosystem shows vulnerability as whale withdrawals disrupt staking and borrowing. Marc Zeller, an Aave contributor, believes that crypto billionaire Justin Sun is behind the $1.7 billion worth of Ethereum withdrawn from Aave over the past week. The larg…
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cryptotale.org broke the news in on Friday, July 25, 2025.
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