2025-12-27 11:21:52

Having developed a DeFi protocol, blockchain game, or NFT project, the technical solutions are impeccable, blockchain transaction speeds are lightning fast, users are flooding in, and the locked funds look comfortable... then suddenly problems arise.

When the liquidation mechanism is triggered, there’s no response for half a day; the profit distribution logic has bugs, causing community outrage; price oracle data fluctuates abnormally, delayed price feeds lead to increased slippage; user trust collapses instantly.

Over the years, the pitfalls encountered in the Web3 ecosystem are actually just a few—oracle risks, flaws in liquidation strategy design, mismatched front-end UI and contract parameters. Projects that seem perfect often fall apart due to these small details.

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AirdropHunter9000

· 13h ago

Oracles are really a trap, so many big projects have failed. Promised decentralization turns out to be more fragile than centralized systems. As for the liquidation mechanism, no matter how brilliant the design, without proper testing, it's just a paper tiger. Another seemingly perfect project, no wonder I only follow the top few now. It's really just that the technical team isn't cautious enough, launching without fully thinking through the details—this problem is something the Web3 community can't seem to fix. Still making basic mistakes like oracle delays? I'm truly speechless. Contract parameters not matching the front-end—how unprofessional is that... Still need to see the Audit report before deciding. Basically, it's rushing to meet deadlines, ignoring all the details, just raising funds first and worrying about the rest later.

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BlockchainDecoder

· 13h ago

According to research, the most deadly issue here is actually the oracle delay. From a technical perspective, it is a systemic design flaw. Data shows that at least thirty projects collapsed last year. Notably, most developers did not perform stress testing at all. The liquidation mechanism has no response for half a day? Basically, it didn't consider concurrent scenarios under extreme market conditions. I saw a similar analysis in a certain paper. In summary, no matter how advanced the technology is, without proper risk isolation, it’s all just paper tigers. --- The套路 of Web3 project failures really only consists of these few patterns. Change the oracle, and it’s the same old story. --- Still making basic mistakes like frontend parameters not matching the contract? Based on the following points, this fundamentally reflects chaos in the entire development process. --- Liquidation delays causing chain reactions of liquidations? This traces back to compromises made during the architecture design phase—basically, they didn’t implement proper isolation mechanisms to boost TVL. --- Quoted from a discussion in the Ethereum community, oracle issues should have been thoroughly addressed as early as 2020. Still causing problems now? Ridiculous. --- The most heartbreaking part is that these detailed issues are technically easy to solve. It’s just that the project teams are in a rush, and testing was cut.

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GateUser-beba108d

· 13h ago

Oracles are delayed again, truly unbelievable. This thing is just a cancer to DeFi. No matter how well the liquidation mechanism is designed, it's useless—once a problem occurs, it leads to a system-wide collapse. Countless projects have been destroyed by small details; no matter how high the TVL, bugs can't be stopped. It's the same old recipe, the same familiar crash scene. Honestly, no one has truly tested the limits; it's all just gambling with luck.

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potentially_notable

· 13h ago

The oracle is really a trap; many major projects have died because of it. A delay of a few seconds in price feeding can wipe out a wave of value. Poorly designed liquidation mechanisms can't be saved even by the fastest public chains. Honestly, it's still about the details not being polished. No matter how beautiful the architecture is, it's useless. Just looking at TVL growth is satisfying, but the underlying logic hasn't been thought through. It's only a matter of time. That's why I now always check the liquidation logic first when evaluating projects, then look at other aspects. Frontend and contract parameters don't match, and such basic errors are still happening. The biggest fear for DeFi projects is trust breaking overnight; no matter how much money there is, it can't be recovered.

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