The contract failed before the ParaSpace protocol was suspended, allowing users to overdraw APE and causing a large number of incorrect clearing

On March 17th, the Web3 Knowledge Map Protocol 0xscope tweeted, saying, “The ParaSpace contract is not working properly: 1. Users can extract more APEs than they thought. 2. User debt calculation errors have led to 268 liquidations in progress.” 0xscope reminded, “Extracting your assets requires you to assume your own risk.”

Interpretation of this information:

The crypto community is buzzing about a recent tweet from Web3 Knowledge Map Protocol 0xscope, announcing that the ParaSpace contract is not functioning correctly. Through the tweet, 0xscope warns users that there are two potential problems with the contract: Users can extract more APEs, referring to the native token of the Parachute project, than they initially believed, and there have been errors in user debt calculations, which may lead to liquidations, with 268 in progress at the time of the tweet. Essentially, 0xscope is cautioning users to be aware of the risks involved with ParaSpace.

ParaSpace is a staking platform that lets users earn rewards for staking their tokens. By staking in ParaSpace, users can earn Para tokens, a utility token that can be used to access different features on the platform, including governance voting and liquidity provision. However, ParaSpace is not without risks, and the recent tweet from 0xscope highlights some of the potential dangers that users may encounter.

The first problem that 0xscope noted is that users can extract more APEs than they initially believed. This could be due to a technical glitch, or it could be an intentional scam. Whatever the reason, it could lead to users losing their stake, especially if the value of APEs drops significantly. Therefore, users need to be careful not to overexpose themselves to this risk.

The second problem that 0xscope identified is related to errors in user debt calculations. This issue could lead to liquidations, where the platform would seize assets from users to cover their debt. With 268 liquidations in progress, it’s clear that this is a significant problem that users need to be aware of. To avoid this issue, users should keep track of their debt and ensure that they have enough collateral in their accounts to cover it.

In summary, the recent tweet from 0xscope raises concerns about the ParaSpace contract’s proper functioning. As always, it’s vital for users to be aware of the risks involved with any crypto investment or platform. 0xscope reminds users that extracting assets from ParaSpace requires assuming their own risk – a reminder that users should take to heart when considering staking on the platform.