Trader Loses $50M on High-Slippage AAVE Trade Despite Warnings

A cryptocurrency trader attempting to purchase AAVE tokens using roughly $50 million in USDT suffered a massive loss after executing a high-slippage transaction.

The trade, executed through the Aave interface and routed via CoW DAO, triggered warnings before completion because of the unusually large order size.

Aave founder Stani Kulechov said the trading interface displayed clear alerts about the extreme price impact and required the user to explicitly acknowledge the risk before proceeding.

Despite those warnings, the trader confirmed the transaction on a mobile device and completed the swap, accepting the high slippage conditions.