The post DeFi Liquidations: Long Leverage Is the Weak Spot appeared on BitcoinEthereumNews.com.
Two market realities keep colliding in crypto: upside reflexivity and downside illiquidity. The former pulls traders into long leverage; the latter punishes it when volatility snaps back. Across both on-chain lending and perpetuals, long positions increasingly account for the bulk of forced unwinds in selloffs. That pattern matters because cascades are mechanical: once collateral health drops, liquidators don’t hesitate. This piece maps why longs are the weak link, what May’s wipeouts revealed, and how to reduce the chance that a routine dip becomes a portfolio event.
Point Details
Liquidations skew long Recent drawdowns saw the majority of forced unwinds hit longs, highlighting crowding on the bullish side during risk-on stretches.
Liquidity thins fast When volatility rises, lenders pull stablecoins and traders pull inventory, reducing bids just as margin calls accelerate.
Mec
The post XRP Ledger’s Architecture Makes Flash Loan Exploits Impossible as DeFi Bleeds Millions appeared on BitcoinEthereumNews.com.
Key Takeaways XRP Ledger’s newly drafted amendment confirms flash loan exploits cannot occur due to its atomic transaction architecture Recent flash loan attacks hit Thorchain, Drift Protocol, and KelpDAO, resulting in losses exceeding hundreds of millions Unlike Ethereum’s composable contracts, XRPL transactions prevent chaining multiple operations within a single block Real-world asset tokenization on XRPL has surpassed $3 billion, featuring partnerships with Ripple, JPMorgan, Mastercard, and Ondo Finance An extensive $200,000 bug bounty initiative in late 2025 uncovered zero vulnerabilities related to flash loans or oracle attacks While decentralized finance protocols continue bleeding funds through flash loan exploits, the XRP Ledger maintains these attacks cannot penetrate its fundamental architecture. NEW: XRP Ledger Eliminates Flash Loan Vulnerabil
Clear overview of Paybswap: what it is, how its token works, ecosystem fit, and practical risks before interacting with the protocol.
The post Paybswap Explained: Token Overview And Key Risks For DeFi appeared first on BiteMyCoin.
The post Is All DeFi Unsafe? Industry Leaders Push Back After Openzeppelin Founder Warns Retail to Exit Blue-Chips appeared on BitcoinEthereumNews.com.
Key Takeaways Openzeppelin founder Manuel Aráoz’s recent comments reignited DeFi security fears. 0G Labs CEO Heinrich noted a 98% lift in lending safety since 2020, undercutting claims that all DeFi is unsafe. Fan of Cysic eyes a fivefold insurance surge by 2029, urging regulators to target opsec over AI code. Shifting From Drama to Data When Openzeppelin co-founder and former Chief Technology Officer (CTO) Manuel Aráoz characterized decentralized finance ( DeFi) as entirely unsafe, it rattled an industry already reeling from a spike in hacks. Highlighting that vulnerability, a recent analysis by blockchain security firm Peckshield found that cross-chain protocol exploits alone drained $328.6 million between the start of the year and mid-May. Aráoz’s viral warnings forced Openzeppelin to publicly distance itself from some of his claims,
The post Americanfortress Links Stealth Addresses to Arbitrum as DeFi Firms Watch Compliance appeared on BitcoinEthereumNews.com.
Key Takeaways Americanfortress launched its privacy beta on Arbitrum, offering stealth addresses for high- volume DeFi. Arbitrum holds over $15 billion in total value locked, highlighting the market need for compliant privacy. The beta features a “Receive on Arbitrum Privately” campaign rewarding the first 500 eligible users. Solving the Privacy Challenge for Institutional DeFi Americanfortress has launched the beta version of its compliant privacy infrastructure on Arbitrum, introducing tools designed to support institutional and high- volume decentralized finance ( DeFi) activity on the Layer 2 network. The system enables users to send assets using human-readable names while automatically generating stealth addresses that shield recipient information onchain. The company said the design preserves auditability between counterparties without relying on mixer
The post Dash says crypto forgot its original killer app: digital cash appeared on BitcoinEthereumNews.com.
Dash has renewed its focus on digital cash, arguing that peer-to-peer payments remain one of crypto’s most useful goals even as stablecoins, DeFi and decentralized applications take more attention. Summary Dash says digital cash remains crypto’s strongest use case as stablecoins and DeFi gain ground. The project says stablecoins carry issuer, peg and freeze risks that digital cash avoids directly. Dash links payments, savings, DeFi and DApps to one scarce base money model for users. Dash said its strategy still follows the early idea behind Bitcoin: a peer-to-peer electronic cash system. The project said that use case has lost attention in parts of the crypto market, but it remains central to its roadmap. In a post on X, Dash described digital cash as the “killer app” for blockchain because it can support direct payments, savings, finance and digital services. The project said di
A clear overview of PancakeSwap, CAKE token mechanics, ecosystem fit, risks, and practical usage for DeFi users on BNB Chain.
The post Pancakeswap Explained: Token, Mechanics And Risks Guide appeared first on BiteMyCoin.
The post XRP Ledger’s design blocks the flash loan attacks costing DeFi hundreds of millions appeared on BitcoinEthereumNews.com.
The two biggest DeFi exploits of the past two months have one thing in common. They used a tool that does not exist on the XRP Ledger. Thorchain lost roughly $10.8 million on May 15 to a cross-chain attack that drained funds across Bitcoin, Ethereum, BSC, and Base. Drift Protocol, a Solana-based decentralized perpetual exchange, and KelpDAO, a liquid restaking protocol on Ethereum, together accounted for more than $600 million in losses through April alone. Cross-chain bridges have lost over $2.8 billion to attacks since 2021, per Chainalysis. And a significant share of these exploits used some variant of the same mechanic: flash loans. A flash loan is a smart contract feature that lets a trader borrow millions of dollars with no collateral, on the condition that the loan is repaid inside the same transaction. The legitimate use cases include arbitrage betwe
