Aave Freezes V3 and V4 Markets After Binance Exploiter Deposits $60M USDT and Borrows 19,762 WETH Aave risk service provider LlamaRisk said one wallet linked to the Binance exploiter deposited about 60 million USDT into Aave V3 Ethereum Core and borrowed 19,762 WETH (worth roughly $44.6 million) between 20:58 and 21:01 UTC on October 29, about 40 minutes before the first freeze. The position remains over-collateralized and is the exploiter’s only position on Aave. Aave froze all DAO-operated V3 and V4 markets as a precaution after a potential security incident involving Binance-affiliated wallets, pausing new deposits and borrowing. Users can still withdraw assets and repay existing loans. In total, 175 V3 reserves across 16 networks and 117 V4 reserves across four networks were frozen. Aave said its contracts were unaffected and it aims to lift the freeze as soon as possible.