Multicoin Capital Dumps $14.9M in AAVE After Racking Up $40M+ in Losses!

Multicoin Capital appears to be cutting its losses on a major AAVE position, transferring 150,000 AAVE tokens worth roughly $14.92 million to Galaxy Digital's OTC wallet and BitGo over the past five hours — a move on-chain analysts read as a sell order in motion.

The fund built its position between October 13 and November 25, 2025, receiving 338,005 AAVE from Galaxy Digital's OTC wallet at an average price of $218 per token, a total outlay of approximately $73.7 million. With AAVE now trading well below that entry, the unrealised loss on the full position exceeds $40 million.

The decision to route tokens back to the same OTC counterparty — Galaxy Digital — alongside BitGo, a major institutional custodian, strongly suggests a structured exit rather than a routine rebalance. For AAVE holders, a 150,000-token block hitting OTC desks is meaningful supply pressure, even if it clears off…