According to Odaily, the Ethereum on-chain lending market experienced significant liquidations in August, totaling $436 million. Aave, a prominent lending platform, accounted for $289 million of this amount, representing approximately 66% of the total liquidations. This marks the second-highest monthly liquidation figure in the history of Ethereum's on-chain lending market, surpassed only by May 2021, when liquidations reached around $671 million.
The primary factor behind these unusually high on-chain loan liquidations is the substantial decline in the price of ETH. In August, ETH's price dropped by 22% month-over-month, with a peak decline of 35% at its lowest point during the month.
