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Noticias de Ethereum This stETH Pool Has Completely Drained Trapping Investors

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Soy el curador de las Noticias Crypto de CryptoWorldAlerts. Si el documento o el contenido infringe cualquier derecho de autor, por favor señálelo en comentarios y será rápidamente borrado. A todos los artículos les incluimos el link del Recurso que consta como Source Link Si el presente artículo, video o foto intrigue cualquier derecho de autor por favor señálelo al correo del autor o en la caja de comentarios.

Large institutional investors such as Alameda Research and Three Arrows Capital used a trading pool to dump their “stETH” tokens, but the pool is now completely depleted and extremely imbalanced, potentially trapping retail investors as well troubled crypto lender Celsius.

However, the so-called Curve liquidity pool, which investors used to sell their stETH, is rapidly depleting, a dynamic that could compel future sellers into less-transparent over-the-counter markets, where discounts could be even greater.

On Curve, the pool in question allows investors to convert stETH to ETH. The total value locked (TVL) – a standard measure of gauging the scale of these protocols in decentralized finance – has fallen to $621 million from $4.6 billion since early May, according to statistics. It’s also highly unbalanced, with about five times as much stETH than ether, making large-scale token swaps expensive or difficult.

Until the Terra blockchain implosion last month, stETH and ether were exchanged at a 1:1 ratio. But then there was a 2-3 percent pricing difference. Following the financial woes of crypto lender Celsius and hedge firm Three Arrows Capital, both large holders of stETH, the gap expanded to 5-6 percent by early June.

Big Players Dumped stETH Through Curve

Some major holders of stETH sold it for ETH, largely through the Curve pool. According to Kaiko, the stETH-ETH Curve pool accounted for 98.5 percent of all stETH decentralized exchange trading volumes in the recent few months, whereas centralized exchange trade was negligible.

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According to the Kaiko article, Amber, a crypto investment platform, received $160 million in just a few days in early June. stETH was sold for $88 million by Alameda Research, a digital asset trading firm. In May, Three Arrows Capital, a hedge fund facing insolvency, redeemed about 400,000 ETH and stETH tokens from the protocol.

Average investors now trapped

Celsius, a major crypto lender that has been under fire for halting withdrawals due to “extreme market conditions,” may be stuck with its stETH holdings. According to Ape Board, a portfolio tracker from blockchain intelligence firm Nansen, Celsius still possesses at least 409,000 stETH, worth around $413 million at current rates.

Average investors with stETH may have even fewer options, as they are often unable to trade on over-the-counter exchanges. According to the Kaiko research, centralized exchanges lack a sufficient market for sellers of the stETH-ETH trading pair.

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