Weird stuff around LINK on Aave

It's a possible move, meaning it's valid and should be accounted for. Protect ya neck nigga

Some anons had a theory that there is not enough liquid link on the market to cover the borrowed links on aave, so the short squeeze will push the price over the zone where it is actually profitable to liquidate on aave. So I guess this transaction would be a bet on that possibility. However I am too much of a brainlet to try and figure out if this is actually possible. Any ideas?

Typically you borrow something to short it.

i.e you deposit USDC as collateral, borrow LINK, sell it on exchange. Thats shorting.

However these guys seem to have borrowed LINK and moved it to some other wallet where it currently sits which doesn't make much sense. Money laundering maybe.

I don't follow.

I was thinking this too. Some exploit of how Aave deals with liquidations. I don't know of the specifics of Aave enough right now, maybe I'll need to dig into that.

Maybe using 22 million usd would push the price that much and you don't get 15 million worth of link

Gotta be money laundering right?

Something like this is another possibility though I feel like $22m wouldn't have that much impact.

To me it seems like this is either:

-Money laundering
-Some kind of exploit of Aave or its liquidation process
-An OTC sale/short and they've just hidden the tracks well.

If it is to deal with liquidations, why borrow so much more link than is at risk of being margin called?

wonder what aave would make of it

It doesn't make sense to me that they would borrow LINK to cover their own ass in case of liquidation. I don't see what that would accomplish. It could be some kind of exploit of Aave and their liquidation process though I suppose.