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Alameda Research’s liquidators have reportedly suffered at least $11.5 million in losses since taking control of Alameda’s trading accounts.

On January 16, an Arkham Intelligence Twitter feed reported that a portfolio under the control of liquidators suffered a series of “significant losses” from liquidations, some of which were “avoidable losses”.

As an example, Arkham noted that the account ending in 0x997 initially had a short position of 9,000 Ether (ETH) ($10.8 million) against a collateral of $20 million in USD Coin (USDC) and $4 million in Dai (AID), with a net balance of $15.2 million when the liquidators took control.

However, after a series of liquidations spanning almost two weeks, the account’s current value now stands at “$1.1 million Ether short vs. $1.4 million USDC: net balance of 300 $000”.

Arkham said it was the most recent development in a “series of market moves that destroyed several Alameda positions left open after bankruptcy.”

Another liquidation occurred when Alameda wallets withdrew $7 million in USDC and $4 million in DAI from decentralized crypto lending platform AAVE to a separate Optimism L2 account on Dec. 29, about 30 hours later. that the liquidators began removing assets from Alameda wallets.

This removal of funds is believed to have placed the position at high liquidation risk, resulting in the sale of $11.4 million of USDC to liquidation robots on Optimism, while AAVE’s Treasury took an additional $100,000 in USDC as a liquidation fee.

Arkham explained that if the liquidators had used a function to immediately close the position by selling collateral instead of removing collateral from the portfolio, at least $15 million could have been preserved rather than the $11 million recovered.

This therefore represents $4 million in avoidable losses.

Related: Alameda Research Had A Secret $65 Billion Line Of Credit With FTX: Report

On January 13, Cointelegraph reported that Alameda Research liquidators lost $72,000 in digital assets while consolidating funds into a single wallet on decentralized finance (DeFi) lending platform Aave.

The liquidators attempted to close out a borrowing position but mistakenly withdrew additional collateral, putting the assets at risk of liquidation. Over a nine-day period, the loan was liquidated twice resulting in a total loss of 4.05 Wrapped Bitcoin (WBTC) which cannot be recovered by creditors.