On-chain observers identified a wallet associated with Kanye West that moved another 4 000 ETH off Binance and used the funds on Aave.

Transaction details

According to on-chain data, the wallet withdrew funds valued at $9,39 mln, supplied them as collateral on Aave and borrowed 6 mln USDT.

The cycle follows a clear pattern: buy ETH, pledge it as collateral, borrow stablecoins and then use those stablecoins to purchase additional ETH, increasing leverage.

Current exposure

• The wallet now has 22 504 ETH posted as collateral.
• Outstanding obligations total approximately $31 mln in debt.
• Unrealized losses on the ETH moved off Binance since 29.09.2024 are estimated at nearly $2,5 mln.

As the leverage ratio grows, the position becomes more sensitive to ETH price declines, raising the probability of margin calls or liquidations if market conditions deteriorate.

Mechanics and implications

Using collateralized borrowing on lending protocols allows repeated exposure amplification, but it also concentrates liquidation risk when volatility spikes or prices fall rapidly.

Chain data indicate multiple loops of borrowing and repurchasing, which magnify both upside participation and downside vulnerability without changing the asset allocation.

On-chain attribution

Blockchain records show links between the address and public activity associated with Kanye West, though on-chain attribution does not constitute definitive proof of individual ownership.