LC Insight
Friday, November 13, 2026Read the chain, not the rumors.

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#DeFi

DeFi news and analysis from LC Insight: 28 stories, newest first.

DeFi

Lighter's LIT rose 10%, and Hyperliquid holds more LIT bets than Lighter itself

LIT climbed to $3.47 while Lighter's fees held near $260,000 a day on DefiLlama. Rival Hyperliquid carries $61.4 million of open LIT bets, against $39.1 million on Lighter's own market.

DeFi

A Monad shark put $3.6 million into earnAUSD, a fifth of the yield token's market value

The busiest shark on Monad bought $16 million of tokens in a day, mostly dollar tokens. Its biggest one-way bet was a yield version of AUSD that CoinGecko values at $17.7 million.

Markets

One wallet bought 5% of all circulating CHIP in a single $3.29 million trade

DeepSea logged an $18.4 million Arbitrum shark wallet buying USD.AI's CHIP token as it traded 50% below its price of a month ago. Arbiscan shows the wallet now holds 100 million CHIP.

DeFi

Lido lost $1.8 billion in value in a day. Did anyone actually leave?

DefiLlama shows DeFi's biggest protocols shrank 4% to 8% in 24 hours. Compared with CoinGecko prices, most of that looks like falling prices, not withdrawals.

DeFi

Curve's trading volume nearly quadrupled to $831 million as crypto sold off

DefiLlama shows the stablecoin swap venue went from $215 million to $831 million in a day, while total DEX volume rose less than 3% and several big DEXs slowed. Its fees jumped about eightfold.

Markets

DeepSea tagged 2,790 new smart money wallets in a week, and not a single new bot

DeepSea's weekly report counts 2,615 wallets seen for the first time from October 26 to November 1, plus 652 new DeFi borrowers and 93 new influencer (KOL) wallets. Here is what the labels mean.

Markets

Whales sent out $317 million more than they took in last week. Where did it go?

DeepSea's wallet-to-wallet map shows $1.10 billion leaving whale wallets and $783 million coming back, while unlabeled wallets pushed a net $306 million into exchanges.

DeFi

DeFi lenders supplied $12.7 billion in a week. Morpho Blue had 84% of liquidations

DeepSea's lending data for October 26 to November 1 shows deposits far ahead of withdrawals, borrowing almost exactly matched by repayments, and $12.69 million liquidated, most of it on Morpho Blue.

DeFi

Compound's fourth retreat in a month: a vote to pull 90 ETH and 42,000 USDC off Unichain

A Compound DAO vote closing November 3, with no votes against so far, would send reserves from its deprecated Unichain markets back to Ethereum. A bigger 534,530 USDT withdrawal from Polygon was filed and canceled within an hour.

Guides

What is MEV? How sandwich bots profit from your swap, and how to cut the risk

MEV, or maximal extractable value, is the profit made by choosing which transactions go into a block and in what order. Some of it keeps prices in line across exchanges. Sandwich attacks take it straight out of ordinary traders' swaps.

Guides

How to check and revoke token approvals before an old one drains your wallet

Look up your wallet address in an approval checker such as Etherscan's Token Approvals page or Revoke.cash, find spenders you no longer use or do not recognize, and revoke them. Each revoke is an on-chain transaction, so it costs a small network fee.

Guides

CEX vs DEX explained: who holds your crypto, and what can go wrong

A centralized exchange (CEX) is a company that holds your coins and matches orders in an order book; a decentralized exchange (DEX) is blockchain software that lets you swap from your own wallet against a pool of tokens. The real trade-off is custody: convenience and support on one side, control and responsibility on the other.

Guides

What is a wallet drainer? How one signature can empty your crypto wallet

A wallet drainer is a scam kit that tricks you into signing an approval or permit that lets the attacker move your tokens. Your seed phrase never leaves your hands: your own signature does the damage, sometimes days later.

Guides

What is a TGE? Token launch day explained, and why most supply stays locked

A TGE, or token generation event, is the moment a crypto project creates its token and the first slice starts to circulate. Airdrop claims and trading usually begin then, while team and investor tokens stay locked for months or years.

Guides

What is restaking? EigenLayer explained, from extra rewards to slashing risk

Restaking lets stakers put the same stake to work securing extra services for extra rewards. EigenLayer is the main protocol for it: stakers deposit assets, operators run the services, and those services can slash stake when rules are broken.

Guides

What are points programs in crypto? How they work and why points are not tokens

A points program scores what users do on a crypto product, such as deposits, trades or referrals, and usually hints that points will later become tokens. Points are not tokens: the project decides if, when and how they convert.

Guides

What is Sky Protocol and USDS? The former MakerDAO and its 3.80% savings rate

Sky is the protocol formerly known as MakerDAO. It issues USDS, a dollar stablecoin, and sUSDS, a savings token that earned the Sky Savings Rate of 3.80% shown on Sky.money on November 2, 2026, a rate set by vote and not guaranteed.

Guides

What is Hyperliquid? How the $188B-a-month onchain perps exchange works

Hyperliquid is a blockchain built for trading. Its HyperCore engine runs perpetual futures and spot order books fully onchain, and DefiLlama showed $188.1 billion of perp volume in the 30 days to November 2, 2026.

Guides

What is Ethena USDe? How the hedged synthetic dollar works and what can break it

USDe is Ethena's synthetic dollar. It is backed by crypto and stablecoins, with the crypto's price risk canceled out by short futures, and its staked version, sUSDe, earns from that trade until funding rates turn against it.

Security

Beyond Binance: 19 more crypto hacks in October's last 11 days, about $24.6 million lost

Binance's $6.3 billion breach dominated October, but SlowMist logged 19 other attacks from October 21 to 31, close to two a day. They range from a $7.45 million multisig mistake to supply chain and DNS attacks.

Guides

What is Uniswap? How the $5.75B DEX works, from AMM pools to v4 hooks

Uniswap is a decentralized exchange where people swap tokens against pools of liquidity instead of an order book. DefiLlama counted about $5.75 billion locked in it on November 2, 2026, and its newest version, v4, lets developers attach custom code called hooks to each pool.

Guides

What is Aave? How the $10.9B DeFi lending protocol works and what can go wrong

Aave is a set of smart contracts where people supply crypto to earn interest and borrow against collateral, with no bank in the middle. As of November 2, 2026, DefiLlama counted about $10.9 billion locked in it, most of it on Ethereum.

DeFi

Aave V3.8 vote: 381,439 AAVE for, zero against, a new lock on 15 networks

Aave Labs wants a reentrancy guard on every active Aave V3 market, built so flash loans and liquidations still work. AAVE holders backed it with zero AAVE against in a Snapshot vote that closed October 31; audits come before the final onchain step.

Policy

Code is not a shield: the FCA's draft crypto map covers DeFi, comments due November 18

The UK regulator wants views by November 18, 2026, on draft guidance about when DeFi, stablecoin payments, market making and tech services need a license. Using smart contracts does not settle the question on its own.

Security

Four years after the Nomad Bridge hack, a man is extradited to the US over $2.89 million

Prosecutors say Alexander Gurevich ran four exploit transactions against the Nomad Bridge on August 1, 2022, taking 103 WBTC and 300 WETH. It is the second old DeFi exploit case to reach a US courtroom this month, three weeks after the Uranium Finance hacker's conviction was announced.

DeFi

Native bitcoin as Aave collateral? Babylon's plan starts with a 300 BTC cap

Babylon Labs wants Aave V4 to accept bitcoin that never leaves the Bitcoin chain, with no wrapper or custodian. Aave Labs says the integration works and LlamaRisk has set a 300 BTC starting cap, but a Snapshot vote is still to come.

Policy

Japan's FSA wants an on-chain finance roadmap by early 2027. Who is at the table?

Japan's Financial Services Agency has opened two new tracks in three weeks: a cross-ministry forum on on-chain finance in the AI era, and a study group on digital and decentralized finance that heard from Nomura and Securitize first.

Security

Cronos halted its whole chain to undo a $120 million Tectonic drain. $9 million got away

An attacker pumped the TONIC token about 195 times and borrowed $120.4 million against it from Tectonic, the biggest lender on Crypto.com's Cronos chain. Validators stopped the network and rewound it, but about $9.19 million had already left.