Aave froze 292 lending reserves across its V3 and V4 markets on Oct. 29, 2026, after attackers drained more than 195,000 ETH and other tokens from Binance wallets. The freeze blocks new deposits and borrowing, but existing users can repay debts and withdraw collateral; Aave’s permissioned Horizon market remains open. Analysts said an attacker-linked loan on Aave remains overcollateralized and poses no direct insolvency risk to liquidity providers.
Binance said unauthorized outflows stopped after it suspended withdrawals and that about $3 billion in affected assets had been frozen with partners. It said deposits were unaffected, pledged to reimburse losses and expected to resume withdrawals within its previously announced 45-hour timeline. Binance said investigators found additional points of compromise beyond a possibly compromised laptop, but were still gathering facts.
