Concerns about Wintermute’s ability to repay its debts arose with the hack, but the market maker has now settled its largest debt. However, the platform still owes around $75 million in USDC and WETH to Maple Finance and about $22.4 million to Clearpool, a total of approx $97.4 million.
According to loan details available on TrueFi, Wintermute had taken a loan for around $92 million from TrueFi’s USDT lending pool in April for a term period of 180 days with an APY of 8.73%. The firm repaid the loan along with interest just one day before the deadline.
Market makers and trading protocols generally take these types of uncollateralized loans for operational purposes without any kind of pledge. Failure to repay such loans affects their reputation and financial standing.
Last month, Wintetmute suffered one of the biggest exploits of this year when a hacker drained out about $160M across 90 assets within the platform’s holdings. At that time, the algorithmic market maker had an outstanding debt of $200 million, as reported by CoinDesk.
Back then, the firm’s CEO Evgeny Gaevoy had said that the firm remained solvent. “We are solvent with twice over that amount in equity left. If you are a lender to Wintermute, again, we are solvent, but if you feel safer to recall the loan, we can absolutely do that.”
As things stand, Wintermute stood true to its words, but there’s no confirmation date from the company on the repayment of the remaining debt.
Loan lapses have become a common trend in the bear market. Last week, TrueFi issued a default notice to crypto investment firm Blockwater Technologies for missing an outstanding payment on a $3.4 million loan.