Aave says its smart contracts were unaffected by the Binance incident and user positions remained fully collateralized, prompting it to unfreeze all V3 and V4 markets. As a precaution, it set loan-to-value ratios to zero for USDT, USDC, USDT0, POL, WAVAX, sAVAX, XAUT, PAXG, and OP, blocking their use as collateral for new borrows. Binance has reserved $6.34 billion in company funds to cover losses, holds $5 billion in affected tokens, and is acquiring the rest via market and OTC channels while working with law enforcement and blockchain intelligence firms.

AI summary of the linked source — not editorial content.

Story signal · how it spread on X · via Elfa

as of
Spread
i
Distinct X and Telegram accounts Elfa counted behind this story’s reports, summed over the thread. Not posts, not impressions.
145 accounts

first post
Leviathan +17.9 h later

AAVE reaction
i
Price change from the first post to 24 hours later (Hyperliquid). BTC over the same window is shown so a market-wide move is not mistaken for a reaction to this story. Not advice.
+0.9% 24h after post

$124.98 → $126.06
BTC −2.3% same window
Elfa measured −0.6% 1d · moved with the market · still measuring

AAVE attention
i
Share of crypto chatter on X this week versus the week before (Elfa mindshare, weighted by who posts). A spike means the story pulled attention; it says nothing about price.
3× vs prior 7d

0.663% of crypto chatter · rank #17
last 24h +204.0%

BNB reaction
i
Price change from the first post to 24 hours later (Hyperliquid). BTC over the same window is shown so a market-wide move is not mistaken for a reaction to this story. Not advice.
−0.8% 24h after post

$707.96 → $702.58
BTC −1.8% same window

Thread · 4 events · 1 mitigation · last update 29 Oct 22:18
  1. First reportBinance-exploiter activity raises concerns about borrowing ETH against stablecoins on Aave80 acc.
  2. UpdateBinance exploiter reportedly borrowed about $45 million in ETH against Aave collateral2 acc.
  3. MitigationAave freezes lending markets to block borrowing by the Binance exploiter51 acc.
  4. UpdateAave sets borrowing limits to zero across Ethereum and Base markets after Binance exploit12 acc.
  5. Leviathan published this article

All times UTC.

Cited posts

  • @david_seroy David Seroy 🏔️First reportOn X ↗

    Most of Binance hack was stablecoins, which have been frozen. But, if hacker was able to post stablecoins as collateral in Aave, then borrow ETH, it's a major issue. Especially since ETH is rehypothecated in Aave. Same issue as rsETH hack. https://t.co/2DZSbceqKA

  • @Alex_LFG_ ALEX_LFGOn X ↗

    The alleged Binance hacker is reportedly depositing stolen USDT into Aave and borrowing ETH against it. The trick? Tether can freeze USDT, but it can’t freeze native ETH. The hacker could walk away with ETH and leave the debt unpaid. https://t.co/6fONSQlrMl

  • @bennydoda01 Ben FairbankOn X ↗

    The wildest part of Binance's $6.3 BILLION hack is the $44.6 million loan that worked exactly as intended. On October 29, Binance suffered what will be crowned the biggest crypto hack in history. Tether froze more than $1.567 billion in USDT. Circle froze another $800 million…

Show 3 more cited posts
  • @daki3crypto daki3On X ↗

    the Binance hacker saw it coming the binance hacker might have just pulled off one of the smartest moves i've seen in crypto here's how it played out (Thu, oct 29): → 21:24 main drain: 167k+ ETH and ~1.6B usdt leave binance in one transaction → 21:57 one hacker wallet… https://t.co/NJTJy7vPYY

  • @Coachkcrypto Coach K | Ichimoku TraderOn X ↗

    The Binance hacker thought this through 🧠 ~$3B in stablecoins frozen 🧊 Only $60M of it was parked in @aave 💸 That's 2%. The other 98% is dead money for the hacker. But that $60M borrowed out 19,762 $ETH, 40 min before the freeze ⏱️ Tether can freeze USDT. Nobody can freeze…

  • @corleonescrypto CorleoneOn X ↗

    the Binance hacker might have just made one of the smartest moves in crypto first, Tether froze $1.5B in USDT then Circle froze another $800M in USDC but apparently, the hacker was already one step ahead instead of holding the USDT, he allegedly deposited it into Aave as…

139 more accounts posted about this · 6 Telegram channels (no public link)

TradersTrader calls tracked by Elfa · not advice

Positioning · AAVE

Open185 open positions · 178 long · 7 short

Tracked accounts lean long about 97% of the time, so a long-heavy book is normal, not a signal. As of 30 Oct 14:09 UTC.

Reaction since the first post

Since 29 Oct 21:11 UTC7 calls opened · 5 long · 2 short

Callers with a scored record

@hufhaus9 short · entry $126.61alpha −0.084 · 45% hit rate · 20 scored

Alpha, hit rate and sample size exactly as Elfa reports them.

Whole crypto market, not this story

Crowding0th percentile · vs last 28 days, 50 typical
Pulse 24h98/100 · unusualness of new calls, 0–100, 50 typical, higher means more long than usual
Book96.9% long · 10,768 accounts

As of 30 Oct 15:00 UTC.

Social-monitoring data, not investment advice Elfa prices Hyperliquid post text from Xas of

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