The discussion revolves around the recent exploit of Platypus Finance, a stableswap protocol on Avalanche, which led to the theft of 9 million in stablecoins. A portion of these stolen assets, approximately $381k, was mistakenly transferred to Aave V3’s Pool contract on Avalanche. The community is now considering an Aave Improvement Proposal (AIP) to recover these assets using the rescueTokens() function in the Pool contract¹.

The Aave-Chan Initiative has expressed support for this recovery mission². The Aave v3 platform was designed with such a scenario in mind, allowing for the straightforward recovery of assets from key contracts like the Pool. A steward pattern can be used to specify the exact amounts to be rescued, with the Aave Guardian in Avalanche granting POOL_ADMIN permissions for this action³. The Platypus team has committed to full transparency regarding the exploit, providing a detailed analysis of the incident and the funds drained to Aave’s Pool contract. They have also sought verification from independent security firm BlockSec⁵. Anatinus_Platypus has shared two documents related to the exploit and recovery proposal, and Bgdlabs has suggested moving to a Snapshot stage for community approval^5,6.

Following positive feedback and the resolution of all queries, Anatinus_Platypus initiated the ARC for Snapshot voting⁸. After the vote, they thanked the community for their support and announced plans to prepare an official AIP and the necessary technical payloads with the help of Aave’s core contributors⁹. They also expressed gratitude to BGD Labs and the Aave-Chan Initiative for their guidance during the recovery process⁹. This discussion signifies the community's proactive approach to addressing security breaches and their commitment to transparency and collaboration in resolving such issues.