space. His debt amounted to $168 million, secured by CRV tokens, which represented nearly 34% of the token’s total market capitalization.
Egorov’s strategy involved locking up approximately $168 million in CRV tokens on Aave, allowing him to take out a $63 million loan denominated in Tether’s USDT stablecoin. Additionally, he borrowed an extra $17 million of the FRAX stablecoin, using $32 million of CRV as collateral on Fraxlend. The interconnected nature of the DeFi ecosystem means that any adverse impact on Egorov’s position could ripple through other decentralized lending protocols and influence CRV’s price. If his position faces liquidation, it may exert significant pressure on various lending platforms, affecting their stability and potentially causing repercussions for the overall DeFi sector.on the daily timeframe chart, it experienced around 25% decline between July 30 and July 31.