Arthur Hayes, the co-founder of BitMEX, sold 350000 PENDLE tokens at a loss of $126 million today. This sale made Hayes incur losses of 36%, totaling $790,000.
He had first bought 39,2911 PENDLE tokens during the period between May 20 and June 21 for $5.6 per token. However, due to its dramatic decrease in value of over 50%, Hayes was forced to sell at a loss. Before the sale, Hayes moved the tokens to Binance and Bybit.
Pendle Price and Market Performance
Pendle (PENDLE) traded at $3.55 in the last 24 hours with an increase of 2.555%. The token’s price has also been moderately volatile ranging from a low of $3.34 to a high of $3.65.
1-day PENDLE trading chart: source Coinmarketcap
With a market cap of $564.56 million, Pendle ranks #105 in overall market value. The trading volume of the last 24 hours totaled a staggering $78.12 million. But this is 4.37% less than the previous day. The market has trigged up having a volume-to-market capitalization of 13.90%, meaning that there is active trading in the market.
A positive consumer attitude persists with 88% of voters having a bullish attitude towards PENDLE as opposed to 12% of voters with bearish attitudes towards the asset. This shows that there is confidence in growth in the market irrespective of the volatility.
Pendle’s Partnerships with SolvProtocol and Corn
However, even though Pendle is faced with a fluctuating market, it does not stop the firm from further development in the Decentralized Finance (DeFi) sphere. On 19th September, Pendle announced partnering with SolvProtocol and Corn.
The goal of this partnership is to host SolvBTC.BBN. It is liquid staking token expected to go live in December next year. SolvProtocol is creating a decentralized Bitcoin reserve, whereas Corn is an Ethereum Layer-2 solution.
The SolvBTC.BBN token will be implemented into many DeFi platforms to improve both adaptability and usability within the rapidly expanding BTCFi community. Pendle has already gained the spotlight for its work relating to DeFi.
Pendle facilitates direct trading of future yields. Meaning that ownership and future returns on an asset are no longer intertwined, thus adding more flexibility. Such innovations help to put it in the ranks of the DeFi industry leaders, and the integration with SolvProtocol and Corn is expected to add more functionality to the platform.
Hayes’ Sale and Market Challenges
Hayes probably got to the decision to sell PENDLE after observing that the token has been declining drastically in the past few months. The token hit its highest price at $752 in April 2024 and then fell by 52.99%.
This combined with increased variations within the market, may have led Hayes to sell at a loss of 36% on Pendle’s shares. This sell-off also happens when there is a focus on what the central banks are doing, especially rate cuts by the U.S. Federal Reserve. As Hayes pointed out earlier these cuts could spur more uncertainty in risk assets including cryptos.
He thinks it is a trend that is likely to worsen the current situation in the market where the rates have been slashed. Nevertheless, Pendle continues the development of its ecosystem by offering its DeFi solutions. The fact that the platform is built around tokenizing future yields could lead to long-term value gains.
