API3's @OEVNetwork just passed a historic test this weekend, proving its scalability in the face of DeFi's largest liquidation event ever.

Let's take a closer look at what this means for the future of oracle-powered DeFi. 🧵

February 2–3, 2025, saw the largest liquidation event in crypto history – over $10 billion liquidated in a single day.

Yes, you heard it right. The pressure was on, but @API3DAO's OEV Network weathered the storm.

Remember, oracles are vital for DeFi, but they've been missing out on a goldmine - the untapped value within their price updates. This value has been leaking from protocols, benefiting external actors, not the protocols themselves.

Enter API3’s OEV Network. They've disrupted this cycle by adding an auction mechanism to their price feeds. This mechanism recaptures significant value from oracle updates, returning it as a revenue stream directly to the protocols.

Let's talk real numbers. Compound saw over $2.6M in liquidations on Mantle, returning $150,000 value. Yei Finance and Lendle also saw significant returns. API3's oracles are not only resilient, but they're also paying their users.

Compound currently earns around $9M a year through borrows, and yet, just five weeks into 2025, Compound has paid out $5.3M in liquidation incentives... - Kyle Jacobs. Clearly, the biggest benefactors of Compound have been external actors...until now.

API3 isn’t just a critical piece of infrastructure. It’s infrastructure that pays you significantly for the opportunities created on your platform. This is the future of oracle-powered DeFi.

The takeaway? This weekend's liquidation event solidified API3’s OEV Network as the first truly tested, scalable OEV solution on the block(chain). The numbers don’t lie, and the opportunity for larger protocols is too big to ignore.

Compound, Lendle, and Yei were the first to upgrade. The question now is, who’s next? 🚀