Lido DAO (LDO), which was found to have a security vulnerability in its token contract, is also taking a hit from a famous whale. Famous Bitcoin investor Brevan Howard started to drain its altcoin reserves from central exchanges today.
Lido (LDO) is on the agenda with whale sales and security vulnerabilities
cryptokoin.com As we reported, Blockchain security firm Slow Mist reported today that Lido is open to market manipulation. According to the report, Lido’s token contract contains vulnerabilities that allow making “fake deposits.” At this point, Slow Mist sent serious warnings to the Lido team and altcoin investors.
However, institutional Bitcoin investor Brevan Howard (formerly Dragonfly Capital) is raising concerns with a large amount of LDOs sent to centralized exchanges. According to on-chain data, the company transferred $1.18 million worth of LDO to Binance and Coinbase wallets yesterday. An LDO position falling below the company’s average purchase price strengthens the possibility of selling pressure.
🚨 Brevan Howard Digital (formerly Dragonfly Capital) transferred a total of 750K $LDO to #Binance and #Coinbase Custoday at $1.57 on average ($1.18M) over the past 3 days.
The VC last deposited $LDO to a CEX on May 17 (114 days ago), at $2.28 on average.
Current holding: 7.08M… https://t.co/VvyplFZudL pic.twitter.com/5RpTMXs59s— Spot On Chain (@spotonchain) September 9, 2023
SpotOnChain reports on the Brevan Howard transactions in question:
Brevan Howard Digital (formerly Dragonfly Capital) transferred a total of 750,000 LDOs at an average of $1.57 ($1.18 million) to Binance and Coinbase Custoday in the past 3 days. VC last deposited on CEX on May 17 (114 days ago) at an average of $2.28. Current LDO reserve is 7.08 million LDO ($10.8 million).
LDO price is declining
LDO, which ranks 34th according to market value, recorded a value of 2.5%, independent of the market in general, following the latest developments. The first sharp decline occurred in the early hours of September 10. The altcoin is currently trading towards the $1.48 region. BTC and ETH continue their horizontal movements in the same time frame.
