Solend (CRYPTO: SLND), a decentralized finance (DeFi) lending and borrowing platform, recently highlighted the scarce decentralization most such projects face, as it tried to defuse a ticking bomb that might wreck Solana's (CRYPTO: SOL) DeFi ecosystem and its liquidity.
What Happened: According to Solend governance proposal SLND1, approved three days before press time, a single whale had deposited 5.7M SOL (worth $170M at the time), equivalent to 25% of the protocol's total value locked (TVL), which was used as collateral to borrow $108 million worth of USD Coin(CRYPTO: USDC) and Tether (CRYPTO: USDT).
