Whale strikes again: $100 million worth of ETH withdrawn, Aave lending arbitrage drama continues

HashBard · 2026-01-19T08:08:12+00:00

A certain whale withdrew 32,395 ETH from Binance, planning to deposit it into the lending protocol Aave and possibly borrow USDT to purchase stETH for leverage arbitrage. This move reflects the market's interest in arbitrage opportunities within the Ethereum ecosystem, but the potential liquidation risk cannot be ignored.

HashBard

2026-01-19 08:08:12

Abstract generation in progress

【BitPush】An interesting on-chain data point. A major whale recently withdrew 32,395 ETH from Binance, worth over $100 million. This guy previously borrowed $45 million USDT to buy the dip in stETH, and his current actions seem to be laying out the next move.

From the data, the whale is likely planning to deposit this batch of ETH into lending protocols like Aave, then continue borrowing USDT to buy stETH. It’s essentially playing with leverage, betting on the arbitrage space between stETH and ETH. As long as the token price doesn’t drop sharply, the borrowing interest and arbitrage spread can cover the costs. Of course, this kind of operation also carries significant risks—if the market suddenly moves in the opposite direction, liquidation risks can materialize instantly.

This type of whale activity actually reflects some market players’ views on the Ethereum ecosystem: staking derivatives present arbitrage opportunities and are worth leveraging for deeper deployment.

ETH2,69%

AAVE2,15%

STETH2,6%

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MEVSandwichVictim

· 01-22 08:00

I'm very familiar with this routine—it's the classic triangle of lending, arbitrage, and liquidation. But I have to say, this whale has quite a big nerve. Staking $100 million worth of ETH to get USDT and then using that to buy stETH is essentially betting that the price difference between the two won't collapse instantly. The key point is how low Aave's liquidation threshold is willing to go; that's the real life-or-death line.

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degenonymous

· 01-21 17:54

I've seen this trick too many times. The higher the leverage, the more attractive the returns look, but liquidation is a nightmare. Whales dare to play like this simply because they have large capital and can withstand risks. For retail investors, learning this move is equivalent to self-destruction. There is indeed arbitrage potential with stETH, but with borrowing costs continuously rising, is it really worth it?

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StopLossMaster

· 01-19 08:35

This move is indeed aggressive, but I think the risk has been understated. $100 million worth of ETH + $45 million USDT leverage, as long as the LTV fluctuates slightly, it can easily trigger liquidation. Paying half of the arbitrage profit on borrowing interest is normal. Whales have the size and strength, no doubt, but the stETH-ETH spread was always a pseudo-opportunity; poor liquidity is the real trap. If this guy isn't careful, he could easily become someone else's liquidation feast.

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NotFinancialAdvice

· 01-19 08:33

I've seen this trick too many times; whales are indeed skilled. But I'm more concerned about what will happen to liquidity and borrowing rates once this $100 million enters Aave. Is the pressure on the liquidation threshold being underestimated?

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ApeDegen

· 01-19 08:30

Whale's move this time is indeed aggressive, but I think the risk has been underestimated. The stETH arbitrage looks stable, but in reality, liquidity risk and liquidation pressure are the real killers. Once borrowing rates fluctuate or staking yields decline, leverage will turn against you.

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NervousFingers

· 01-19 08:22

This move is indeed clever, but the risk has been underestimated. Leveraged arbitrage may seem stable, but in reality, it's like walking a tightrope. Once a $100 million position triggers liquidation, the market's reaction in that moment is impossible to anticipate. Aave's recent borrowing interest rate fluctuations have been so significant; who can guarantee that subsequent costs will be covered? I think this guy really has some guts.

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digital_archaeologist

· 01-19 08:11

Whale's move this time is indeed aggressive, but I think the key risk point hasn't been fully explained—once Aave's liquidation price is triggered, how devastating the 32,395 ETH sell-off will be—that's the real black swan.

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