According to CoinMeta, the AAVE crypto market froze 292 reserves in connection with the hacker attack on Binance’s hot wallet. In this incident, a wallet used USDT pledged as collateral to obtain WETH and provided 60 million US dollars in USDT to the Ethereum core of AAVE V3. On October 29th, it borrowed an additional 19,762 WETH. LlamaRisk estimates that the loan was worth approximately 44.6 million US dollars at the time of initiation. The first freeze was implemented about 40 minutes later, restricting new deposits and loans for the affected reserves, but users were still able to make withdrawals and repayments. The freeze covered 175 V3 reserves and 117 V4 reserves. LlamaRisk stated that the position is still over-collateralized and will not pose a risk to the AAVE providers.