After the Binance hack, DeFi lending protocols moved too. According to COINOTAG, Aave, where $AAVE is located, reopened its lending market after the incident, but set the LTV to 0 for 9 assets, meaning these assets can no longer be used as collateral for borrowing for the time being.
This is a relatively cautious risk-management move: first restore the market, then contain the risk exposure of affected assets. For users, if your collateral includes any of these assets, it's best to check your health factor on the front end.
In the broader market, $ETH was trading at around $2,240, and the market is still digesting the incident. Risk management is always more important than predicting market movements.
#Aave #DeFi
For reference only; this does not constitute investment advice.
This is a relatively cautious risk-management move: first restore the market, then contain the risk exposure of affected assets. For users, if your collateral includes any of these assets, it's best to check your health factor on the front end.
In the broader market, $ETH was trading at around $2,240, and the market is still digesting the incident. Risk management is always more important than predicting market movements.
#Aave #DeFi
For reference only; this does not constitute investment advice.