We have devoted several articles to the recent collapse of Terra Luna, and after the fall of Bitcoin and thus the entire market, we have another case here that has caused quite a stir in the entire crypto community. Solana’s so-called Sollana Labs loan platform will reportedly try to “mitigate liquidation risks” by being able to liquidate the vulnerable assets of one of the whales’ accounts. The project wants to avoid a collapse like Terra Luna, but by giving the platform access to the account, there can no longer be any question of decentralization.
As you probably know, such a move caused quite a stir, and this whale reportedly owns 5.7 million Sol and owns 95% of the main fund’s deposits, which is about $200 million. The Solend team said that it had repeatedly tried to contact the account holder, but to no avail, and that was why he was forced to take such a controversial step. The decision was made after the users voted, but a similar step is far from a way out of the bear market, quite the contrary. It is literally a desperate step that could be the end of this project.