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Aave borrowers faced up to 36% APR while a freeze blocked fresh collateral

Borrowers in Aave's frozen reserves kept paying interest while the restrictions prevented fresh deposits, including the extra collateral they might normally supply to protect a loan. Suppliers were still able to request their money back, provided enough tokens were available, so withdrawals could make borrowing more expensive even though new borrowing was blocked in those…

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Aave borrowers faced up to 36% APR while a freeze blocked fresh collateral
Imagem: CryptoSlate

Resumo da notícia

Borrowers in Aave's frozen reserves kept paying interest while the restrictions prevented fresh deposits, including the extra collateral they might normally supply to protect a loan. Suppliers were still able to request their money back, provided enough tokens were available, so withdrawals could make borrowing more expensive even though new borrowing was blocked in those…

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