SPK spikes 80% as Spark absorbs Aave outflows post-KelpDAO exploit
SPK token surged 80% as Spark Protocol absorbed over $1 billion in Aave outflows following the KelpDAO exploit.Summary
The native asset of Spark Protocol, SPK, experienced an 80% price surge on Wednesday, reaching $0.055. This rally occurred as over $1 billion in assets flowed into Spark Protocol from Aave following the KelpDAO exploit. Trading volume for SPK also saw a significant increase of 1,027%. The KelpDAO exploit, which resulted in a $292 million attack, caused Aave's Total Value Locked (TVL) to drop from $26.4 billion to $15 billion, while Spark's TVL grew from $3.8 billion to over $5 billion. AAVE token prices also declined by approximately 21% to $92. Aave has stated its exposure to the exploit could range from $124 million to $230 million in bad debt, emphasizing the incident originated outside its core smart contracts. The attacker reportedly used a cross-chain exploit to mint rsETH and use it as collateral in Aave markets. In response, Aave has frozen affected assets and adjusted borrowing parameters, considering different recovery strategies.
(Source：Crypto Briefing)