A bug in decentralized Finance (DeFi) lending protocol Aave V2 on the Polygon network has made it impossible for users to interact with about $110 million worth of assets on the platform.
Blockchain security firm BlockSec reported on May 19 that the problem was due to the ReserveInterestRateStrategy contract deployed on Polygon. The upgrade was intended to enable a more efficient interest rate curve on Aave V2 and optimize the platform’s utilization.
However, due to its incompatibility with the network, Aave users cannot interact with their assets on the protocol. This means users can’t borrow, withdraw, repay, or supply more of these assets to the protocol as every call reverts.
Funds Remain Safe
Developers have acknowledged the problem noting that only Aave V2 on Polygon was affected. The V2 on Ethereum and Avalanche are working perfectly, and so is the V3 protocol.
The…
