Aave Team Member Publishes ARC Proposal to Freeze Aave V3 Fantom Market

Marc Zeller, a member of the Aave team, published a proposal for comments on the Aave Governance Forum, suggesting that the Aave V3 Fantom market be frozen, allowing users to repay debts and withdraw, but prevent deposits and further borrowing in the market, mainly because of the risks in the Aave V3 Fantom market and income imbalances. The proposal states, “After the Harmony bridge incident and the Nomad bridge vulnerability, the Aave community should comprehensively consider the risks and benefits of the Fantom Aave V3 market, which is currently not supported by the Aave security module because Fantom relies on the Multichain bridge. In addition, The Fantom Aave V3 market has not gained significant traction, currently only has $2.4M in open borrowing positions, and is only generating an average of $300 per day in fees on the protocol (approximately $30 per day transferred to Aave treasury).”