
Pac Finance, a lending platform on the Blast network, faced significant backlash after a sudden change in its liquidation threshold parameters led to over $26 million in user liquidations. The update, which was implemented without prior notice, altered the Loan to Value (LTV) ratio, affecting ezETH leveraging farmers. This move resulted in a substantial number of liquidations, including a notable incident where a single account was liquidated for approximately $24 million. The incident has sparked discussions about the risks associated with forking code without a deep understanding of the underlying software and parameters. Additionally, it was reported that one of the liquidators profited 244.37 ETH by exploiting the situation, raising further concerns about the platform's governance and the implications for users.



🚨 Update: liquidations have now passed $850M over the past 24 hours https://t.co/GzpjO7tVfH
Bitcoin flushes $65000 Ethereum $3100 Solana $141 Liquidation ladders 🪜 targeting cross collateralized leverage - pre halving pullback - miner capitulation. We knew it was coming.
$26 million liquidated in surprise Pac Finance smart contract change April 12, 2024 https://t.co/6Uee4q9uXu https://t.co/72DYl15GX5