InstaForex

November 1, 2021

Fearing Stolen Investments, Tron CEO Disburses Over $ 4 Billion From Aave

 Surprisingly Aave recorded a decline in total locked -in value (TVL) of around 18% last Friday.


The incident is said to have something to do with the wallet of TRON founder and BitTorrent CEO Justin Sun which has withdrawn as much as $ 4.2 billion, covering several assets including ETH, WBTC, and stablecoins from Aave’s pools lending platform.


Although the media failed to get an explanation from the figure, some speculation arose in the crypto community.


One of them Sun may be too concerned with the security of the DeFi protocol, again after Cream Finance (CREAM) was hacked to the point of losing $ 130 million.



As a result, the Gauntlet company that manages Aave has issued a proposal to abolish SUSHI, DPI, and LP (liquidity provider) loans in the AMM market in order to alleviate public concern.


The protocol is believed to have the same flaws as Cream Finance, prompting Gauntlet’s decision to stop lending those assets.


So, it’s no wonder why Sun acted so as a precautionary measure when the effort was implemented into the Aave protocol, effective November 1st.


As a result, Aave slipped to 8th position in the DeFi platform category in terms of TVL volume. Aave is also overtaken by Dai (DAI), Fantom (FTM), Chainlink (LINK), Wrapped Bitcoin (WBTC), Avalanche (AVAX), Uniswap (UNI), and Terra (LUNA).