From TokenPost · · 50s
Aave’s SpaceX Token Plan Faces Thin Trading
Aave’s SpaceX token collateral plan risks liquidation due to low trading volume ahead of Oct 22 share unlock.
In brief
Aave’s SpaceX token collateral plan risks liquidation due to low trading volume ahead of Oct 22 share unlock. Aave’s proposed SpaceX share token collateral for loans faces liquidation risks as onchain trading depth is too low for Oct 22 share unlock. Originally reported by TokenPost.
Aave’s SpaceX Token Plan
Aave Labs proposed accepting SpaceX share certificates as loan collateral through its V4 Equities Hub on Base.
Limited Trading Depth
Onchain trading depth on Base is $370,000 at 2% price impact, making the proposed cap of 37,000 SPCXc about 15 times that amount.
Oct 22 Share Unlock
1.313 billion SpaceX shares become eligible for sale on Oct 22, 28% of a 4.691 billion-share lockup pool.
The short version
Aave’s proposed SpaceX share token collateral for loans faces liquidation risks as onchain trading depth is too low for Oct 22 share unlock.
