Bebao Financial reached a peak of $70 billion in assets under management in March-April 2021, fueled by Bitcoin's bull market and high funding fee arbitrage. The company connected U.S.-based Genesis with Asian miners, capitalizing on Bitcoin price surges. However, the collapse of Terra's Anchor Protocol in May 2022 exposed vulnerabilities in centralized lending platforms, leading to a $60 billion market value loss and significant impacts on firms like Bebao, 3AC, and BlockFi, as well as massive losses for Alameda Research.
Bebao Financial's $70 Billion Crypto Lending Peak and Subsequent Collapse
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