Software development company Aave Companies today announced the acquisition of Sonar, a San Francisco-based metaverse developer where players can build worlds and interact with user-created spaces using non-fungible tokens (<a href="https://decrypt.co/resources/non-fungible-tokens-nfts-explained-guide-learn-blockchain" target="_blank">NFTs</a>).

According to new data by <a href="https://twitter.com/DuneAnalytics/status/1598721835822202880?t=fKQfG0e0OcMYmRofuZGL-w&amp;s=08" target="_blank">Dune Analytics</a>, <a href="https://ambcrypto.com/?s=aave">Aave</a> showed significant growth over the last few quarters. This was because the number of Aave users witnessed an increase. However, in terms of volume, <a href="https://ambcrypto.com/compound-tightens-its-rules-to-prevent-aave-like-exploit-details-inside/">the protocol</a> lagged behind <a href="https://ambcrypto.com/?s=makerdao">MakerDAO</a>, which had dominated the market thus far.&nbsp;

Stani.lens (<a href="https://twitter.com/AaveAave/status/1599063719694123014">@StaniKulechov</a>) Founder of <a href="https://twitter.com/LensProtocol">@LensProtocol</a> and <a href="https://twitter.com/AaveAave">@AaveAave</a>&nbsp;on Twitter: "Now that the <a href="https://twitter.com/AaveAave">@AaveAave</a> Community is preparing for Aave Protocol V3 deployment for Ethereum market its good time to review why V3 as a flexible architecture is much appreciated ."

Derivatives marketplace Chicago Mercantile Exchange (CME) and cryptocurrency index provider CF Benchmarks this month will introduce reference rates and real-time indices for aave (<a href="https://www.coindesk.com/price/aave/" target="_blank">AAVE</a>), curve (<a href="https://www.coindesk.com/price/curve-dao-token/" target="_blank">CRV</a>) and aynthetix (<a href="https://www.coindesk.com/price/synthetix/" target="_blank">SNX</a>), the two <a href="https://www.prnewswire.com/news-releases/cme-group-and-cf-benchmarks-to-launch-three-new-defi-reference-rates-and-real-time-indices-on-december-19-301691384.html" target="_blank">said</a> in Thursday.

Aave executed a proposal to freeze the markets for 17 different assets in the Aave V2 lending pool on the Ethereum network, including the Yearn. Finance (YFI), Curve DAO (CRV), Gemini Dollar (GUSD), Maker (MKR), and 1inch (1INCH) tokens.

Aave’s governance community has passed a proposal to freeze lending markets for 17 Ethereum-based tokens on Aave’s v2 protocol.

Decentralized lending protocol Aave has temporarily frozen lending markets for 17 tokens in an effort to protect itself from taking on bad debt due to future market manipulation attacks.&nbsp;

The prolonged crypto winter aided by the collapse of FTX has kept investors from backing a new protocol that merges DeFi and the foreign exchange market. A new Cosmos blockchain-based DeFi protocol has caught the eyes of investors who have put $10 million behind the project.

Decide on a path forward to repay the excess debt in the CRV market (currently ~$1.6M USD, dependent on CRV’s token price).

DeFi management platform Llama and DeFi risk management outfit Gauntlet have submitted a governance proposal on Aave to cover the DeFi lender’s $1.6 million bad debt brought on by Tuesday’s short attempt linked to Mango Markets exploiter Avraham Eisenberg.

The cryptocurrency market has taken a beating recently, and many projects are struggling due to low liquidity. An attempt was made to exploit <a href="https://ambcrypto.com/aave-relies-on-eth-whales-but-is-it-enough-for-a-sizable-rally-this-week/">Aave</a>, which would have been a major setback for the crypto space. In particular, the Defi sector. Aave claimed to have suffered only minor damage as a result of the exploit’s failure.

Aave may have avoided a crisis for now, but changes to the protocol may be necessary to prevent a similar exploit.

As described by analysts at Lookonchain on Nov. 22, tokens of decentralized exchange Curve Finance (CRV) appear to have suffered a major <a href="https://twitter.com/lookonchain/status/1595022256018702339" target="_blank">short-seller attack</a>. According to Lookonchain, ponzishorter.eth, an address associated with <a href="https://cointelegraph.com/news/mango-markets-hacker-proposes-steep-settlement">Mango Markets exploiter</a> Avraham Eisenberg, first swapped 40 million USD Coin (USDC) on Nov. 13 into decentralized finance protocol Aave to borrow CRV for selling.&nbsp;

The week of rangebound trading on AAVE might have pushed some investors away from the cryptocurrency, but, thankfully, bulls have found some power to push the value of the asset above the trading range. In the last 24 hours, AAVE has shown a slightly better performance than the other part of the cryptocurrency market. Unfortunately, there have been no fundamental factors that would suggest that AAVE has an upper hand against other assets, which is why the movement we are seeing right now is purely speculative.