Decentralized reinsurance protocol Re said a third-party Morpho market using the Pendle PT-reUSD oracle experienced market price volatility, triggering liquidations of leveraged PT positions. According to Foresight News, reUSD itself was not affected, and the Morpho market did not generate bad debt.

Re said it is investigating whether the PT market price was deliberately manipulated and is working with relevant teams to improve a safer oracle configuration.