Chaos Labs exits Aave after risk clash and legal fears
Chaos Labs exits Aave after risk clash and legal fears
Chaos Labs is terminating its Aave mandate after three years, citing a fundamental dispute over how the $27 billion lending protocol should manage risk.The move follows high‑profile exits by Aave Chan Initiative and BGD Labs, deepening governance turmoil at DeFi’s largest money market.Chaos also flags undefined legal liability for DeFi risk managers after recent oracle failures triggered tens of millions of dollars in erroneous liquidations on Aave.