A decentralized cryptocurrency exchange Yearn.finance is reaching out to arbitrage traders with a request to return digital assets worth $1.4 million.
On December 11, due to a script error during a regular conversion of earned Yearn.finance tokens, an automatic sale of all coins held in the crypto wallet occurred, leading to a decrease in the value of the cryptocurrency. As a result, the trading platform lost 63% of its value, equivalent to $1.4 million in dollar terms.
Arbitrage traders, who profit from the difference in asset prices on various platforms, benefited from trades on Yearn.finance, which led to the collapse in token values. For this reason, the exchange has appealed to them to share the profits obtained, at least partially compensating for the losses incurred.
Company employees sent messages over the Ethereum (ETH) network to several successful traders, requesting them to transfer a portion of their profits to the platform's crypto wallet. One of the traders who responded to this request transferred 2 ETH to Yearn.finance, worth $4520 at the current exchange rate.
