Compound Halts Lending Markets Amid Liquidity Crisis

Compound Finance has temporarily suspended key lending markets, affecting USDC, USDS, and USDT, following a liquidity crisis that impacted Elixir’s stablecoins. This decision addresses concerns related to substantial risks, including a $93 million loss disclosed by Stream Finance. The emergency pause was approved after Gauntlet’s advice, which recommended the halt due to liquidity issues surrounding Elixir’s deUSD and sdeUSD on Ethereum. ]