DeFi consensus failure? Solend’s proposal to take over whale accounts was overturned in less than a day

Recently, Solend , a lending platform of Solana , initiated a governance proposal ” SLND1 ” to temporarily take over the account because a giant whale account has not repaid a huge amount of loans, which caused the liquidation crisis in the unstable market situation. The balance point with property ownership caused controversy in the DeFi circle. Unexpectedly, the proposal was overturned in less than a day after it was passed, and the community needed to vote again.

Solend released a new proposal ” SLND2 ” today (20), including “invalidating the SLND1 proposal” and “increasing the governance voting time to 1 day” to formulate a new proposal. The biggest difference from the previous proposal is that the Solend team did not The power to take over the account urgently. Before that, Solend urged someone in a whale account to repay the loan as soon as possible to avoid the risk of liquidation. Yesterday evening, the Solend community set a special margin requirement for the whale and the governance proposal SLND1, which could temporarily take over the whale account, has been approved.

The “SLND1” proposal supports the establishment of special margin requirements for giant whale accounts that account for more than 20% of the total borrowing. If the user’s borrowing exceeds 20% of all borrowings in the main pool, a special liquidation threshold of 35% is required, and the Solend official team is granted emergency power to Temporarily take over the whale’s account so that the liquidation can be performed off-site to avoid affecting other users. After the proposal is passed, the smart contract will be upgraded to complete the operation. Once the whale’s account reaches a safe level, the emergency power will be revoked.

According to previous news, Solend founder Rooter urged a giant whale (address starting with 3oSE) to repay the loan as soon as possible. The giant whale has $170 million in SOL deposits and $108 million in stablecoin borrowings, currently accounting for 95% of SOL deposits and USDC borrowings. 86%, the whale’s borrowing liquidation price is $22.27 (current SOL price is $29.16). If the whale is liquidated, it will start with a partial liquidation capped at 20% of the outstanding borrowings (~$21 million). Subsequently, Solend has temporarily banned the USDC, USDT and SOL borrowing functions of its Main Pool.