An open-source liquidity protocol, Aave, announced that it was experiencing issues with some of its features after community developers validated them. In response, the protocol has implemented interim preventive measures.
On November 4, Aave made a post about this issue on Twitter, where it mentioned preventative steps. The company paused the Aave V2 Ethereum Market and certain assets on Aave V2 on Avalanche. Furthermore, assets on Aave V3 on Polygon, Arbitrum, and Optimism are also frozen.
The statement states that there is no risk to any funds on any Aave marketplaces, including the V2 markets on Polygon and Avalanche and the V3 markets on Ethereum, Base, and Metis.
Aave said, “A governance proposal to restore the normal operation of the protocols will be submitted shortly. Detailed postmortem will be released once the issue is fully resolved.”
Users can still withdraw and refund positions they have borrowed from or supplied to frozen assets, but they are unable to do so until the issue has been remedied. The company added, “On paused assets, no action can be done until unpaused.”
Also Read: Curve Founder Michael Egorov Closes Remaining Aave Position
