Aave's tBTC markets on the Base and Arbitrum networks were already frozen prior to October 31, 2026 during earlier asset deprecation rounds

Overview Debates Related claims Topics Sources

Cc9f267dcNews eventClaim

Threshold Network suspended tBTC token minting, new Bitcoin deposits, and redemption requests on its Bitcoin bridge

Cc9f267dcNews eventClaim

Aave's guardian multisig froze new deposits and borrowing on its Ethereum V3 Core tBTC reserve

Risk manager Gauntlet placed the tBTC-backed market on Gauntlet's emergency exclusion list and withdrew approximately 65,000 USDC from Gauntlet's Ethereum Morpho USDC Core vault on October 31, 2026

Gauntlet warned on October 31, 2026 that Threshold's redemption suspension could impact tBTC secondary-market liquidity and impede lenders attempting to exit positions during liquidations

Threshold Network stated on October 31, 2026 that no funds were lost and investigators found no unauthorized token minting on the tBTC bridge

Suspension of direct Threshold redemptions on October 31, 2026 forces tBTC holders seeking native Bitcoin to rely on secondary-market buyers, where price discounts or liquidity declines complicate collateral liquidations

The FBI published a sanctions list of 608 Ethereum, 19 Bitcoin, and 1 Solana address tied to the October 29, 2026 Binance hack, specifically urging DeFi platforms, node operators, THORChain THORNode operators, and RPC nodes to block them

Aave risk service provider LlamaRisk recommended the immediate freeze of tBTC on Aave's Ethereum V3 Core market following Threshold Network's operational suspension

Aave's freeze on its Ethereum V3 Core tBTC reserve allows existing users to continue repaying loans, withdrawing eligible collateral, and executing liquidations under existing risk parameters

Threshold Network reported on October 31, 2026 that tBTC remained fully backed with 4,320 BTC held in bridge wallets against 4,185 tBTC in circulation

Threshold Network suspended tBTC operations without disclosing the specific security issue or setting a reopening date, but stated existing tBTC remains transferable across Ethereum and layer-2 networks

Threshold Network instructed users on October 31, 2026 not to send Bitcoin to previously generated deposit addresses or repeat pending transactions during its Bitcoin bridge suspension

Hackers deposited stablecoins into Tron DeFi protocols like JustLend for non-freezable depository receipt tokens to evade issuer freezes

Aave plans to deploy Chainlink 24/7 Data Feeds on Horizon, its institutional lending platform, focusing initially on high-volume U.S. equities

Always-on price feeds allow lending protocols to set terms, monitor positions, and manage liquidation risks without weekend data blackouts

DeFi lending protocols face collateral valuation gaps when traditional stock exchanges close from Friday night to Monday morning

Aave adopted Chainlink 24/7 as an official launch partner to enable continuous pricing and collateral management for institutional real-world asset lending

THORChain's emergency pause mechanism was activated after an Ethereum reorg caused a duplicate 10 ETH refund to be processed, catching the anomaly post-transaction rather than preventing it beforehand

THORChain paused trading and swaps across 12 of the 13 chains it supports after an Ethereum reorganization triggered a double refund error on October 31, 2026

THORChain kept outbound signing active on most affected chains during the October 31, 2026 swap pause, allowing existing payments to proceed while new swaps remained blocked