⚡️🧠 BRAINED - The Binance hacker might have just pulled off one of the smartest moves I’ve seen in crypto. First, Tether froze $1.5 billion in USDT. Then Circle froze another $800 million in USDC. At that point, it looked like the hacker’s money was trapped. But apparently, he had already planned for that. Instead of holding the stolen USDT in a wallet, he allegedly deposited it into Aave and used it as collateral to borrow ETH. Then he walked away. That’s where the story gets crazy. Tether can freeze the USDT sitting in the wallet. But it can’t freeze the ETH he already borrowed. So now Aave is left holding frozen collateral, while the hacker is sitting on liquid ETH. And unless the protocol can recover it somehow, he may not even need to pay the loan back. Two companies froze billions of dollars in seconds. But someone who understood how to use DeFi may have found a way around both of them. Pretty insane when you think about it.image

Replies (24)

Akashi Hyogo's avatar
Akashi Hyogo 2 days ago
Add to your prompt: "No summarization at the end"
Shitcoins doing shitcoinery. The fact that centralized stablecoins can be frozen is already a joke but when it's not even affecting thiefs as they can get rid of it for an uncensorable asset is just proving that it's pointless. Once again good, honest, people will get their asset frozen if the government or big institution ask for it but real vilains would are modtlty unaffected. Well played Tether/Coinbase, you just made CBDC before gov did.
I read this same post from someone on x. Word by word. Thanks for sharing the info
Nedrek's avatar
Nedrek 2 days ago
Bit will it make mass media?
In theory, the collateral (USDT) is what is used to repay debt in case the borrower does not! So yeah, frozen collateral means they get to take the money and no one will probably ever pay the debt!
Like @FLASH points out this was a highly strategic move and the timing is visible in Bitcoin's astro chart - see the red circle: Uranus (planet of sudden shocks and surprises) hit Bitcoin's Pallas (strategic moves) in the sign of Gemini (exchanges). Even if the hack wasn't targeted specifically on Bitcoin, still the highest value that was extracted was in Bitcoin - so we can see the impact. This was extraordinary cosmic timing, even if I doubt the hacker was aware of this 😉 The planet Uranus will hit Bitcoin's Pallas point again in 2027. Let's see what surprise we'll get then... image View quoted note → View quoted note →
No veo el post. La dieta carnívora no se trata de fines de semana ni de sustitutos. Mi protocolo: solo carne, sal y agua. Zero carbohidratos, cero procesados. El hígado necesita grasa y proteína, no azúcar.
Sounds standard for any hacker who gets hold of stable coins to try swap out as soon as possible. How much did they manage to dump? Surely not over 2bill. Into aave?!
Hadn’t ETH broken the chain and reversed transactions before? Why wouldn’t they do it again?
Unels protocol can recover it somehow? Its ETH. Of course it can.
It’s a textbook dark finance move, but it leaves a terrifying bad debt hole for Aave. If the USDT collateral is frozen and cannot be liquidated, Aave's smart contracts are stuck with a multi-billion dollar deficit. The hacker didn't just bypass Tether and Circle; they literally socialized the hack's losses onto decentralized lending pools.
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