Will Aave collapse due to bad debt? Thanks to this, Aave now holds approximately $60M in frozen USDT as collateral, and many are concerned about this. Marc Zeller commented on the matter, and his conclusion is: "Don’t worry too much." The reasoning is that USDT itself is solid collateral—even if the hacker doesn’t repay, when liquidation occurs, Aave can simply cash out the USDT. https://t.co/LUjYZfKgaw This makes sense, and the only real concern is whether Aave will later unfreeze the hacker’s deposited USDT and allow it to be cashed out. But considering Aave’s relationship with Tether, it seems likely they will—unless they classify it as hacker funds. #Binance #Hacking