A $20m decentralized Chainlink short was just liquidated on Aave

This "Short squeeze" culminated on the morning of Aug. 8 when on-chain data indicated that millions of dollars worth of on-chain Chainlink short positions were partially or fully liquidated.

Millions worth of Chainlink shorts liquidated on Ethereum DeFi platforms.

When LINK moved past $11 on the morning of Aug. 8, reports began to flood the Crypto Twitter space that on-chain short positions opened through Aave were getting partially or fully liquidated.

The most notable of these short positions was one worth approximately $20 million before Aug. 8.

The short position was purportedly entirely liquidated when LINK spiked above $14, with DeFi dashboards indicating the address' "Net worth" is $299.66.

The liquidation of this position seemingly came after the short holder deposited hundreds of thousands of dollars worth of collateral in an attempt to keep the bet afloat.

Data suggests that millions more worth of short positions were also liquidated on centralized derivatives platforms.

One cryptocurrency trader noted that per his data, there was a $16 million LINK position, along with a series of "$1m+" positions, that was liquidated on a cryptocurrency futures platform.

Analysis by another trader indicates that at least $40 million was liquidated on Binance's Chainlink market alone.

The persistence of the short holders made some think that at least some of the positions liquidated today were opened by Zeus Capital, a cryptocurrency fund that has heavily criticized LINK in the past month.