Jupiter Lend delays USDC withdrawals amid liquidity squeeze

Jupiter Lend, a DeFi lending protocol in the Solana ecosystem, has delayed USDC withdrawals due to a liquidity squeeze triggered by market reactions to Binance’s 6.3 billion dollar hack. An on-chain API snapshot revealed that USDC deposit claims in Jupiter Earn amounted to approximately 418.5 million USDC, including accrued interest, while the balance available for immediate withdrawal dropped to just 3.35 USDC. A surge in large withdrawal requests amid market fears temporarily drained the lending pool's liquidity. Jupiter clarified that it has no funds directly deposited with Binance and that its exposure is zero, ensuring all funds are safe. The protocol attributed the liquidity bottleneck to a temporary shortfall caused by DeFi's structural mechanics, with most deposits tied up in active loans through borrow and leverage products.

This content is provided for general informational purposes only and doesn't constitute financial, investment, legal, or tax advice. Any events, rewards, online promotions, or related information mentioned herein should not be considered a recommendation, solicitation, or invitation to purchase, sell, trade, or otherwise deal in any crypto assets. Crypto assets are highly volatile and may result in loss. The availability of WEEX services, products, and related events may vary by region. You are responsible for ensuring that your participation is in accordance with applicable local laws and regulations.