DeFi Lending Agreement's 24-hour liquidation volume reached a record high of US$131 million

On Tuesday, after the price of Ethereum continued to pull back to US$1,406, a record high of US$131 million in decentralized finance (DeFi) lending positions was liquidated. According to CoinDesk 20, this cryptocurrency has fallen 9% in the past 24 hours.

According to data from data provider DeBank, Compound Finance has the largest number of liquidation positions, about $86 million, accounting for 75% of the total liquidation of the platform.

MakerDAO followed closely, with a liquidation amount of approximately US$10 million, accounting for 8% of the total. The sum of Aave v1 and v2 is USD 13 million, accounting for 11% of the total liquidation.

Historically, high gas fees may be one of the reasons for large-scale liquidation on lending platforms. According to data from the data provider Blockchair, the average transaction cost hit a new high again on Tuesday, with a basic ether transaction cost of $39. For many borrowings, due to the high transaction costs, the cost of compulsory liquidation through non-liquidation or liquidation may eventually be lower.

According to Messari's data, the DeFi asset class as a whole also experienced a sharp sell-off, with a drop of about 13%. However, as can be seen from the DeFi Impulse Index (DPI), the index of this asset class has been rising in the past 30 days, with an increase of nearly 50%.

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