This evening the $LEO price on Hive-Engine started to drop significantly and rapidly. It seemed like a good time to grab some $LEO. Little did I know that the price would continue to spiral down as large sell walls came and went and more people started to sell chunks of their $LEO.
Why sell when everything has been running along nice and smooth?
Reports and discussions have identified that the price dump may be due to an illegal printing of wLEO on Uniswap. There is a chance that someone was able to mint chunks of wLEO and have then swapped them for ETH on Uniswap, swapping over 200 ETH, at this stage, in wLEO and making off with the spoils.
At this early stage, this is just second hand information and I am sure more will come to light once more is known.
Some larger LP holders have decided to remove their wLEO whilst there is uncertainty and volatility in the LP.
On the upside, there is cheap $LEO to be had and staked. A good time to have some chunks of HIVE to swap into $LEO. Hopefully the cause of the additional wLEO tokens on Uniswap are discovered and any possible issue is sorted out. These are the risks associated with playing in the crypto space and the new DeFi opportunities.
Thanks for reading!
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