[PiggyBank Discloses Details of LAB Basis Trading Manipulation Incident Losses, Will Compensate Affected Users] PiggyBank released a detailed report on the June 6 LAB incident, stating that the protocol experienced a net withdrawal of approximately $579,000 on June 6, primarily due to market manipulation involving a LAB token basis trade. In early May, PiggyBank purchased 142,800 locked LAB tokens (approximately $102,500) through an OTC intermediary while simultaneously opening a perpetual contract short position for hedging. However, market participants continuously maintained the spot price above the perpetual contract price, resulting in deeply negative funding rates (annualized -17,000%). The excessive hedging costs forced the short position to close, leading to a loss of approximately $476,000. The locked LAB tokens currently have a spot market value of approximately $1 million, but due to poor liquidity and the lack of hedging options, they have been excluded from NAV calculations.