Crypto trader loses nearly all of $50 million in one botched DeFi transaction

A crypto investor experienced a significant loss, converting approximately $50 million in aEthUSDT into only $36,000 worth of aEthAAVE through a flawed token swap on the CoW Protocol. The transaction suffered over 99% slippage due to limited liquidity in the trading pools, with arbitrage traders capitalizing on the price difference. Aave founder Stani Kulechov stated that the Aave interface displayed multiple slippage warnings, which the user acknowledged and accepted on a mobile device before proceeding. While the CoW Swap routers functioned as expected, Kulechov acknowledged the outcome was unfavorable and Aave intends to return approximately $600,000 in fees to the user. This incident follows a recent $27 million liquidation on Aave, potentially linked to a pricing issue with wstETH.

(Source：CoinDesk)