Crypto market making firm Auros failed to make a payment on a $7.5 million stablecoin loan from uncollateralized lending platform Maple Finance, according to security and analytics firm PeckShield.

Blockchain-based lending platform Maple Finance unveiled Wednesday a major protocol overhaul in an attempt to improve on <a href="https://www.coindesk.com/markets/2022/12/12/maple-finances-54m-of-sour-debt-shows-risks-of-crypto-lending-without-collateral/">shortcomings</a> highlighted by a spate of recent loan defaults.

Uncollateralized lender Maple Finance has updated its protocol to a second version aimed at opening up the lending platform to a wider range of institutional borrowers, including those from outside the crypto industry.&nbsp;

The emergence of Maple Finance brought a different approach to the entire process. This bold DeFi lending protocol requires no deposit of extra crypto tokens as collateral for borrowing.

Smart contract auditing platform <a href="https://www.coindesk.com/business/2022/09/14/crypto-auditing-platform-sherlock-raises-4m-in-funding/">Sherlock</a> predicted a $4 million loss for its stakers, about a third of the capital in its staking pool, because of <a href="https://www.coindesk.com/markets/2022/12/05/maple-finance-severs-ties-with-orthogonal-trading-alleging-it-misrepresented-financial-position/">Orthogonal Trading FTX-induced loan defaults</a> on crypto lending protocol Maple Finance, the firm said Monday in a <a href="https://mirror.xyz/0xE400820f3D60d77a3EC8018d44366ed0d334f93C/1oCUnnQsVfIFX9okOa4ritG-ENuL2W55nTPTJ12cdL0">blog post</a>.

Rifts have emerged between defaulted crypto trading firm Orthogonal Trading and its own lending unit, Orthogonal Credit, after an <a href="https://www.coindesk.com/markets/2022/12/05/maple-finance-severs-ties-with-orthogonal-trading-alleging-it-misrepresented-financial-position/">apparent default on some $36 million of loans</a> on the blockchain-based lending platform Maple Finance.

One of the biggest crypto lending protocols, Maple Finance, recently revealed that it would break connections with another crypto enterprise, Orthogonal. The latter’s financial situation prevented it from being able to pay back its debt, which had a role in the former’s final choice.&nbsp;

Maple Finance, one of the largest unsecured credit platforms, <a href="https://maple.finance/news/maple-severs-all-ties-with-orthogonal-trading/" target="_blank">said</a> it decided to severe ties with crypto firm Orthogonal Trading, alleging that the firm was "misrepresenting its financial position" and its ability to repay a loan from the protocol.