Periphery Contracts Incident August 28 2024

Yesterday, BGD Labs reported to Aave Labs that some periphery contracts used in the Aave Labs user interface (not part of core protocol) to perform swaps had a small balance (exact amount to be confirmed) that was exploited. These contracts, which are separate from the core protocol and used for facilitating token swaps, had accumulated small token balances over time. The accumulation is a result of residual tokens left over from swap transactions, a situation these contracts were not designed to handle. As a precautionary measure, the Aave Labs team has immediately disabled all functions that use swaps in the Aave Labs interface until the situation can be thoroughly investigated and a solution can be put in place. It’s important to note that users are still able to manage their positions by using alternative functions in the Aave Labs interface or by using other third-party interfaces to interact with the protocol. No user funds were impacted, and the tokens that the contract lost belonged to the Aave DAO.

We are continuing our thorough investigation into this incident and will provide more details shortly.

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Awesome, looking forward to the report as well as this amazing feature

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We have identified the issue and are currently working on a fix. In the meantime, we are re-enabling collateral swaps, as well as withdrawal and swaps, since these functionalities are not affected by the issue. We will provide a detailed report with more information soon.

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Borrow (loan) Swap still not available. Is it next thing to be fixed? Thanks.

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I’m not sure, but it’s one of the most useful features.

Just Use Aave

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ive been trying to swap stuff but it doesn’t seem to be working well. the swap button is back but it hasen’t been working. just keeps saying the same thing - " there was some error - please try changing the parameters or copy there - i;ve tried increasing slippage and lower the amounts - its only worked once when i tried usdc.e

any ideas? paraswap having issues or is aave still not re implemented it yet.

tried on two different phones… anyone else having issues swapping? i dont see swap when withdrawing. with the markets like this, im sure everyone would appreciate responses asap. thank you

can we use paraswap directly? i tried but it said i need to unlock aaPOLBTC

if you can just give everyone an update on whats working and whats not and when things will be fixed back to normal.

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Hi, @AaveLabs , any update on repair of borrowed tokens swap function?

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so for metamask on your phone - you need to do 1 of 2 things - erase all the browser history and cache and connections - that should bring back the swap button. its a cache issue.

  1. backup your keys and install a fresh wallet - that helped

  2. everything was fixed for me within my chrome broswer with new metamask installed.

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Hi, @SMoKeMoN . Are you sure we talking about Borrow side Switch button?
For the moment there is switch button on supplies side, but not on borrow side.

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We have re-enabled repay with collateral and the debt swap will be fixed soon. Thank you for your patience.

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All swaps are now re-enabled. More details on the investigation will be provided soon.

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