Coinbase Faces $170 Million Liquidations in Crypto-Backed Lending Amid Market Drop

Data from Dune shows Coinbase’s lending platform experienced its biggest liquidation event to date as Bitcoin and Ethereum prices plunged sharply this week.

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Summary

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Terms & Concepts
  • Liquidation: The forced closing of leveraged positions when collateral value falls below required levels.
  • Crypto-backed lending: Borrowing fiat or stablecoins using cryptocurrencies such as Bitcoin or Ethereum as collateral.
  • Dune: A blockchain data analytics platform that aggregates and visualizes on-chain metrics.