Aave seen as too big to fail in DeFi after $300M rescue effort post-exploit.

Aave, a leading DeFi lending protocol, is now considered too important to fail, similar to major banks in the 2008 crisis, according to Messari analyst Eric Manoukian. After the rsETH exploit, over $300 million was voluntarily pooled by various DeFi projects to protect Aave depositors, showcasing DeFi's ability to self-support without government intervention. Despite a 45.1% drop in total value locked, Aave holds nearly half the market share among top lending protocols and is expected to strengthen with upcoming developments like the V4 rollout and new retail app. The community is watching AAVE's price closely, as a break below $92 could trigger further declines.