Recently, I came across a very noteworthy case, and the experience of the fund MEV Capital is quite shocking.

Last October, the deUSD stablecoin decoupling event directly triggered automatic liquidation mechanisms across multiple protocols, causing MEV Capital to lose over $10 million. Even more astonishing, their managed assets plummeted from a high of $1.5 billion to just $300 million within four months, an 80% drop. This figure truly reflects how risky MEV strategies can be under extreme market conditions.

The story isn't over. Belem Capital then announced the termination of its delegated management agreement with MEV Capital and internalized the institutional asset management team, aiming to reorganize its risk management and execution framework. This decision also reflects a reassessment by the investment firm of the risks associated with MEV.

This incident is quite thought-provoking — a seemingly stable stablecoin suddenly decouples, triggering a chain of automatic liquidations, and the fund's assets evaporate in an instant. It also reminds us that even professional MEV strategy teams find it difficult to fully avoid risks in the face of black swan events.