ThorChain Hits Record-Setting $355 Million Trading Volume in…
ThorChain, a decentralized liquidity protocol, reported a record-breaking transaction volume on Oct. 5, with the number surging to $355 million in a single day, marking an all-time high.
This noteworthy event is part of a larger trend as the cumulative transaction volume over the past five days has surpassed the $1 billion mark.
ThorChain’s Record-Breaking Volumes
According to the analysis, the surge in transaction volume coincided with the rise in swap counts associated with the network. On Oct. 5, when the transaction volume was close to $355 million, the count of swaps related to the network was 115,630.
This was an upward surge compared to the preceding day, when the swap count was 61,877, and the total volume was merely $170.8 million.
The daily change in transaction volume from Oct. 4 to Oct. 5 was a massive 107.6% increase.
A look at the charts indicates an upward trajectory in the transaction volumes since Sept. 29. While the network reported just about $34.45 million as total volume on Sept. 29, the value increased to $60.14 million the next day and $166.4 by Oct. 1.
Later, on Oct. 2, the total transaction volume made a new high of $197.33 million before minor plunges were noted at $173.84 million and $170.84 million between Oct. 3 and 4, respectively. Between Oct. 1 and 5, the cumulative transaction volume was $1.063 billion.
As the transaction volumes seemingly surged, so did the earnings volume associated with the network. On Oct. 4, the liquidity earning was about $109K, and the bond earning stood at $66.7K, a major decline from the highs recorded on Oct. 2. However, on Oct. 5, the liquidity and bond earnings stood at $164.35K and $101.96K, respectively.
As per analysts, the sudden volume surge can be linked to increased hacking activities recently, especially with cross-chain BTC transactions being the main contributor to the massive volume surge.
To address these adverse events, reports indicate that ThorSwap, a product of ThorChain, has paused the platform, shifting into maintenance mode.
When speaking of the developments, ThorSwap developer tweeted;
“Yesterday, following a careful evaluation of the situation and consultation with advisors, legal counsel, and law enforcement, the decision was made to temporarily transition the THORSwap interface into maintenance mode. This action was taken to swiftly curtail any further potential illicit activity.”
A pressing and persistent concern has recently come to light: the potential movement of illicit funds through THORChain and, specifically, THORSwap. Such activities have no place on the THORSwap platform, and THORSwap stands firmly against any and all criminal…
— THORSwap ⚡ #BetterThanCEX (@THORSwap) October 6, 2023
The tweet noted that ThorSwap will remain in this mode till the developers find a more permanent solution to implement and bolster the platform’s continued security and integrity.
ThorChain’s Rune Price Actions
The native token of the ThorChain network, Rune, has been trading in the red for most of the past 24 hours. Starting the day at 2.048, the token surged to $2.1 before plunging to a low of about $1.93. Reports indicate that the token has lost about 2,51% in value in the 24 hours from October 5 till the reporting time.
However, the story is quite different in the past seven days, with Rune trading in the green. Starting at $1.92 on Sept. 29, Rune surged to a high of $2.23 on Oct. 2 before falling to a low of $1.88 on Oct. 4.
The charts suggest that the assets have mainly shown a sideways price action, especially in the past five days. However, in the past week, Rune has gained about 3.02% in value.
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