According to Foresight News, Extra Finance, a leveraged yield protocol, has announced the creation of bad debt totaling 164 ETH due to the liquidation of GB-WETH. The team will bear all the losses, with no burden falling on the lenders.
In a bid to strengthen its security measures, Extra Finance will establish a 'Rainy Day Fund' this month. The initial amount for this fund will be 500,000 USDC, designed to deal with unforeseen protocol risks.