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The Aave community debated whether a recent security incident should trigger the safety module to compensate affected users, with mixed opinions on responsibility and fairness. Ultimately, 95.79% voted against activating the safety module, and the proposal was archived with no further actions planned.
The community has been discussing whether to classify a recent security incident on April 11, 2023, as a shortfall event, which would activate the Aave safety module. The incident involved users experiencing losses due to assets being frozen or paused, leading to liquidations and high interest rates. The debate centered around whether compensation should be provided to affected users and if the incident met the criteria for a shortfall event according to Aave governance rules.
The community reaction is mixed, with some members supporting compensation for those affected by high interest rates and others opposing the activation of the safety module. Concerns were raised about the fairness of compensation, the responsibility of users for their own losses, and the impact on different parties. The Aave Companies (ACI) stated that no user fund losses occurred and that the incident was successfully managed, hence they would vote against activating the safety module. The proposal was escalated to the TEMP CHECK Snapshot stage for voting.
The proposal has been voted on, with 95.79% voting against it, and as a result, the proposal is now archived53. There are no further actions related to this proposal.
Posted 22 days ago
Last reply 12 days ago
Summary updated 9 days ago
Last updated 03/12 08:00