Gate News message, April 19 — Keone Hon, co-founder of Monad, recommends that pooled lending protocols implement rate limits on collateral asset supply increases rather than opening supply to maximum capacity immediately. For example, when current supply is 100 million and the cap is 300 million, the protocol should only allow supply to increase to 110 million within the next 10 minutes. This approach would limit the exit paths available during hacking attacks, particularly those exploiting unlimited minting vulnerabilities.
Hon argues that lending protocols are typically the largest exit channels for assets, and implementing “smart caps” that start slightly above current supply and gradually adjust toward the true cap over hours could significantly improve risk control. He notes this measure could have prevented rsETH depositors from suffering approximately $200 million in losses today.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
Frax Joins DeFi United Support Action for Aave, to Propose Governance Plan for rsETH Incident
Gate News message, April 24 — Frax Finance announced on X that as an Aave V4 partner, it is in direct communication with Aave to address the rsETH incident. While Frax has no direct risk exposure, it
GateNews53m ago
Telegram Founder: TON fees drop to $0.0005, moving toward zero fees
Telegram founder Pavel Durov posted on the X platform on April 23, announcing that TON network transaction fees will be reduced by 6x within a week, down to 0.00039 TON per transaction (about 0.0005 USD). The fee rate is fixed and is not affected by network load. Durov also announced that after the fee reduction, most transactions will further move toward a fully free zero-fee model.
MarketWhisper1h ago
CoW DAO Proposes Discretionary Grant Program to Compensate Domain Hijacking Victims
Gate News message, April 24 — CoW DAO has proposed establishing a discretionary grant program to compensate users who suffered losses from the April 14 cow.fi domain hijacking incident. The program will provide up to 100% loss reimbursement through a one-time allocation from the legal defense
GateNews1h ago
Cardano NFT Marketplace JPG Store Announces Shutdown on May 23
Gate News message, April 24 — JPG Store, a Cardano ecosystem NFT marketplace, announced on X that it will shut down on May 23 due to unsustainable operations. Both JPG Store and its Comet platform will cease website services, though the underlying smart contracts will remain
GateNews2h ago
EtherFi proposes injecting 5,000 ETH into the rsETH rescue pool to prevent bad debts from spreading across the DeFi ecosystem
EtherFi Foundation submitted a governance proposal on April 24, authorizing the DAO treasury to allocate up to 5,000 ETH to fund the cross-protocol rescue pool for the rsETH vulnerability incident, to fill the shortfall in collateral and prevent Aave and other DeFi lending markets from incurring bad debt. This is part of EtherFi’s “DeFi United” coordinated rescue initiative.
MarketWhisper2h ago
