A bug in an older model of crypto lending protocol Aave is obstructing customers from interacting with Wrapped Ether (WETH), Tether (USDT), Wrapped Bitcoin (WBTC) or Wrapped Matic (WMATIC) swimming pools on Aave V2 Polygon, stopping property from being withdrawn from them, in keeping with a Could 19 proposal that makes an attempt to repair the bug by a patch. The proposal says that customers are at present unable to “provide extra of these property, borrow, repay, or withdraw.”
Though withdrawals are at present not possible, the group acknowledged that funds are “completely secure,” because the bug could be mounted after a governance vote.
.@AaveAave the newest improve of ReserveInterestRateStrategy in Aave V2 (Polygon) has prompted a brief halt of the protocol, impacting property value ~$110M!
The basis trigger is the brand new ReserveInterestRateStrategy is just appropriate with Ethereum, not appropriate with Polygon. https://t.co/kg5696QNPo pic.twitter.com/Ze3zSBS8Ck
— BlockSec (@BlockSecTeam) May 19, 2023
The bug solely impacts Aave V2 on Polygon. AaveV3, which is the newest model, stays unaffected, as does V2 deployments to Ethereum or Avalanche.
The damaged code arose due to a Could 16 rate of interest curve patch utilized to all deployments of V2. The Polygon implementation of V2 makes use of a barely totally different checklist of operate definitions (known as an “interface”) for its fee technique contracts in comparison with the Ethereum and Avalanche implementations. However the rate of interest curve adjustments didn’t take into consideration this distinction, inflicting the bug to develop solely within the Polygon deployment.
The brand new proposal asks Aave’s governing physique, Aave DAO, to approve code adjustments to solely the Polygon model to repair the patch. Voting is scheduled to start on Could 20, and can proceed till Could 23, the proposal acknowledged.
Associated: Aave DAO votes for ‘rescue plan’ to save lots of misplaced tokens
Aave is most well-known for its flash mortgage characteristic that permits customers to borrow crypto, make trades, and pay again the loans inside the identical block with out requiring collateral. It started on Ethereum, however has been increasing into different networks over the previous few years. On April 17, Aave governance voted to deploy the protocol on zkSync Period, a layer 2 of Ethereum that makes use of zero-knowledge proof expertise. On Could 8, Aave V3 deployed to the Metis community, which can also be a layer 2 of Ethereum.