Retro on AVI and His Epic Battle With Curve, the Bad Debt, and the Biggest Winner
Someone's in jail, and someone bought mansions.
Bloomberg reported that Avraham Eisenberg, a.k.a. Avi, the guy who attacked Mango Markets using oracle manipulation and continued to do so on AAVE, will face the judge in trial on Dec. 4.
Looking back, Avi’s battle with Michael Egorov, the founder of Curve, caused more consequences to the industry due to the collateral damage of the $1.6 million bad debt on AAVE.
It could be hard to predict what the jury would think of Avi’s behaviors. Hopefully, a retro on the event can reiterate the risks and potential solutions for episodes alike in the future.
First, let’s walk through the battlefield, detailing the moves of Avi and Michael.
Next, we did an in-depth analysis of how AAVE's $1.6 million bad debt was created and why we need a control system based on liquidity sensors and a feedback loop to mitigate the imminent risks.
Last but not least, we unveil a liquidation strategy that profited $1 million and liquidators’ significant role during the creation of AAVE's $1.6 million bad debt.
We wish these could be good reading materials for your weekend. Enjoy!!
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