A whale executed a flash loan to leverage a long position in Aave, selling 70,000 Aave to fully repay the loan and reduce leverage. The transaction indicates a strategic move to manage debt. Flash loans allow borrowers to access large amounts of capital without collateral, provided the loan is repaid within the same transaction block. By selling the Aave tokens, the whale was able to settle the debt incurred through the flash loan, effectively deleveraging their position. This action reflects the increasing use of flash loans in the cryptocurrency market for leveraging and managing financial positions.
