Crypto
PT-reUSD Price Drop Triggers $36M in Rapid Liquidations
A small price drop in PT-reUSD triggered a wave of liquidations on August 25, 2026. The price decline of 2.8% led to 33 Morpho liquidation events that repaid $36.14 million of debt within minutes.
The majority of these liquidations affected the USDC market, with $35.19 million being repaid, while the USDT market accounted for $956,000.
This event highlights how small price movements in yield-token markets can cause significant liquidations when collateral approaches its liquidation threshold.