DeFi — 2026-06-05

Aave:

• Post-mortem on $230M rsETH exploit (April 2026): exploit traced to LayerZero bridge verification failure, not Aave smart contract bug
• $300M industry rescue fund (Lido, Ether.fi, Ethena, Compound) backstopped losses
• Emergency federal court order freed $71M in clawed-back ETH
• Overhauling listing standards: new Technical Asset Listing Framework covers bridge architecture, oracle dependencies, access controls
• 295 parameter changes made post-exploit (168 supply-cap reductions)
• Automated LTV-0 circuit breaker — instantly strips collateral value if bridge infrastructure is breached
• Aave V4 surpassed $100M in deposits; Blackthorn audit published
• V3.7 upgrade rolled out across Ethereum, Polygon, Avalanche, Arbitrum, Base, BNB Chain, Linea, Plasma, Mantle
• sGHO savings product launched; GHO acquisition strategy continues

Uniswap:

• DAO voting to take back $42M worth of UNI governance tokens loaned to delegates (2022-2023)
• Proposal by Erin Koen (Uniswap Labs): loaned tokens served their purpose, governance now more active
• Passed proposals average 75M votes in turnout, exceeding quorum by 88%
• Fee switch activated — proceeds buy UNI from circulation
• BlackRock reportedly acquiring UNI governance tokens

DeFi Safety:

• Immunefi: DeFi exploit losses fell 74% from 2022 peak to $680M in 2025
• AI-driven security arms race; protocols getting safer structurally