Whale uses on-chain composable strategies through DeFi lending, Ethereum holdings surpass 50,000 tokens

According to on-chain monitoring data, a key participant has been continuously deploying in the Ethereum ecosystem over the past month. The total accumulated position has reached 50,152 ETH, with a total value of approximately $156 million. This operation is based on a typical DeFi lending strategy, closely related to the operational mechanisms of lending protocols like Compound.

On-Chain Operation Details: Implementation of the Circular Lending Strategy

Recent monitoring shows that this whale withdrew 2,836 ETH (about $9.15 million) from a major trading platform an hour ago, then deposited these assets into the Aave lending protocol to borrow 6.2 million USDT. Interestingly, this 6.2 million USDT was subsequently transferred back to the exchange and used for long positions on Ethereum—this is the so-called “circular loan” strategy.

This approach essentially exploits price differences and liquidity gaps between DeFi lending platforms (such as Compound) and centralized exchanges. By repeatedly collateralizing, borrowing, and re-depositing, it achieves leveraged asset deployment.

Real-Time Cost and Profit Reconciliation

The average cost basis for this whale’s position is approximately $3,117 per ETH, while the current Ethereum price is around $3.21K. Based on the latest prices, the unrealized profit has reached about $6.207 million. Although this profit margin may not seem extraordinary, considering the holding period and the complexity of the strategy, it strongly indicates the participant’s bullish outlook on Ethereum’s medium-term trend.

Market Interpretation

Such large-scale position operations often serve as market indicators. The whale’s decision to increase holdings at this point and to use leverage tools to deepen deployment generally signals strong confidence in Ethereum’s fundamentals. At the same time, this operation also highlights the central role of DeFi lending protocols (including platforms like Compound) in modern on-chain asset management—allowing major players to execute more complex and efficient capital operations.