Hodlnaut May Have Massive Undisclosed Losses From The Terra Crash

Crypto lending platform Hodlnaut seems to have taken a massive hit after the Terra collapse.

Bishal Kumar Chanda2 min read
Hodlnaut May Have Massive Undisclosed Losses From The Terra Crash

Hodlnaut seems to have taken a massive hit after the Terra collapse, as reported by Dirty Bubble Media. According to Nansen-verified blockchain data, the firm sent $171 million UST to FTX on May 11, 2022. It happened while the depeg of the stablecoin was accelerating via the Ethereum chain.

Hodlnaut's undisclosed losses

Reportedly, Hodlnaut sent an additional 138 million UST via the Terra chain to FTX. During this exit, the UST price collapsed from $0.69 to $0.19. It's pretty plausible that Hodlnaut's exit accelerated the UST depeg due to the size of the transactions.

As an estimate, Hodlnaut likely lost tens of millions of dollars in this event. However, the crypto lender did not disclose anything about this loss. In fact, the anonymous source who made this report became frustrated trying to obtain information from the company and even got blocked from their social media.

Hodlnaut Announces Support For Binance Smart Chain

Crypto lending platform Hodlnaut announced adding support of the Binance Smart Chain for USDC deposits on their platform. Previously, users could only use the ERC-20 network for depositing USDC.

Hodlnaut CEO and Co-founder Juntao Zhu said, "We're pleased to announce the integration of Binance Smart Chain at Hodlnaut. In addition to faster transaction times, it will allow for lower fee transactions across platforms to and from Hodlnaut."

The Binance Smart Chain was created as an extension of the original Binance Chain. Using dual chain architecture, both the networks are complementary, providing decentralized applications with a cheaper and more efficient network.

According to Hodlnaut, it is committed to enhancing customer experience and is continuously improving its offerings to help users make the most out of their crypto assets. With the Binance Smart Chain support, users can now benefit from faster transactions and lower fees.

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