đš #AAVE Faces Liquidity Crunch as Justin Sun Sparks DeFi Stress Test
⥠Aave, the largest lending platform on #Ethereum , saw over $1.7B in $ETH withdrawals this weekâmost linked to Justin Sun and HTX wallets. The rapid outflows triggered a liquidity squeeze, spiking borrowing rates above 10%, and leaving contributors scrambling.
đž Marc Zeller likened Sun's massive moves to âgrocery shopping,â calling attention to the vulnerability of DeFi to unpredictable whale behavior.
đž Meanwhile, Ethereumâs validator exit queue surpassed 625,000 ETH, creating a 10-day delay amid profit-taking following a 150% #ETH rally.
đž Despite the chaos, institutional interest in ETH staking is rising, fueled by regulatory clarity and BlackRockâs adoption of staking in its products.
đ This moment exposes the tension between DeFiâs open design and centralized powerâraising serious questions about the system's resilience when major players move without warning.
