<?xml version="1.0" encoding="UTF-8"?><rss xmlns:dc="http://purl.org/dc/elements/1.1/" xmlns:content="http://purl.org/rss/1.0/modules/content/" xmlns:atom="http://www.w3.org/2005/Atom" version="2.0"><channel><title><![CDATA[Liquidity Crunch Hits Aave as Borrow Rates Surge]]></title><description><![CDATA[<p dir="auto"><img src="/forum/assets/uploads/files/1776771548274-251c5de9-03ae-4e60-b10e-374eaabc2519-image.png" alt="251c5de9-03ae-4e60-b10e-374eaabc2519-image.png" class=" img-fluid img-markdown" /></p>
<p dir="auto">As funds continue to move, liquidity pressure is building across lending markets. Aave has already seen billions exit the platform, with total value locked dropping sharply. Borrowing costs have surged, with stablecoin rates jumping from around 3% to as high as 14%, reflecting the tightening liquidity conditions.</p>
<p dir="auto">Although some markets have been partially unfrozen, key reserves across multiple chains remain restricted. The situation now hinges on whether the ecosystem can stabilize liquidity before further sell pressure emerges. For now, the Kelp DAO exploit stands as a clear example of how quickly a single breach can escalate into a system-wide stress event in DeFi.</p>
]]></description><link>https://undeads.com/forum/topic/18794/liquidity-crunch-hits-aave-as-borrow-rates-surge</link><generator>RSS for Node</generator><lastBuildDate>Tue, 09 Jun 2026 03:11:18 GMT</lastBuildDate><atom:link href="https://undeads.com/forum/topic/18794.rss" rel="self" type="application/rss+xml"/><pubDate>Tue, 21 Apr 2026 11:39:09 GMT</pubDate><ttl>60</ttl><item><title><![CDATA[Reply to Liquidity Crunch Hits Aave as Borrow Rates Surge on Tue, 21 Apr 2026 14:19:34 GMT]]></title><description><![CDATA[<p dir="auto">one weak verifier takes everything down great design choice</p>
]]></description><link>https://undeads.com/forum/post/51352</link><guid isPermaLink="true">https://undeads.com/forum/post/51352</guid><dc:creator><![CDATA[encrypted]]></dc:creator><pubDate>Tue, 21 Apr 2026 14:19:34 GMT</pubDate></item></channel></rss>