Flight to safety: How Maker’s Spark and USDC are winning the $10 billion Aave breakup
CoinDesk
Capital is fleeing Aave following the Kelp DAO exploit, favoring safer alternatives like Maker's Spark, tokenized assets, and USDC stablecoin holdings.Summary
Following a $292 million exploit of the Kelp DAO, over $10 billion has exited the Aave protocol, causing its total value locked to drop by approximately 40%. Rather than moving to a direct competitor, users are diversifying into lower-risk infrastructure, such as Maker-linked Spark, which emphasizes tighter risk controls. Other capital has gravitated toward real-world asset protocols and stablecoins like USDC, reflecting a broader market shift away from complex, cross-chain collateral and toward simplicity and capital preservation.
(Source：CoinDesk)