Aave v3 markets resume normal operations after security scare
In the wake of a security vulnerability that surfaced earlier this month, Aave version 3 markets have been unpaused and have resumed standard functions, marking partial recovery for the decentralized lending protocol. No funds have been impacted.
The vulnerability that came to light on Nov. 4 impacted various lending markets across Aave V2 on Ethereum and Aave V3 on blockchains including Optimism, Arbitrum, Avalanche, and Polygon. The issue prompted immediate action from the Aave DAO. In response to the issue, the DAO temporarily disabled the stable rate borrowing feature, a move to prevent any potential exploitation.
Yesterday, Aave announced the restoration of V3 markets to full functionality. Users can once again engage in depositing, repaying, initiating and closing loan positions, with the protocol operating at its full capacity. “Affected Aave V3 markets have been unpaused by the Community Guardian following governance proposal execution. Thanks to the Aave DAO for their prompt action,” the project stated.
The DAO contributors say reactivation of the V2 markets is expected today. The DAO will release detailed information regarding the nature of the vulnerability later on.