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Foresight News reports that, according to the Aave page, affected by the Kelp DAO attack incident, the Aave V3 Core Market (Ethereum mainnet) has a USDT deposit scale of $3.29 billion, with only about $400,000 of available liquidity remaining and a utilization rate of 99.99%. The Plasma Market USDT0 market has reserves of $1.35 billion, available liquidity is less than $0.01, and utilization is at 100%.

According to Golden Ten Data on April 19, the European Commission will encourage remote work and provide public transport subsidies to reduce the use of fossil fuels, as countries strive to cope with the energy price shocks caused by the Middle East war. A document shows that the European Commission will submit a series of proposed measures to member states next week, aimed at lowering energy demand, improving energy efficiency, and facilitating the transition to clean energy. These measures are designed to provide “immediate relief” for high energy prices.

Odaily reported that Spark Protocol's Head of Strategy, monetsupply.eth, posted on X stating that as stablecoin market liquidity begins to tighten, the current rsETH security incident could be entering a more dangerous phase. Around 16.5% of the ETH market is backed by rsETH. If related losses are spread equally across both mainnet and cross-chain environments, rsETH-collateralized loans in eMode may face a discount of 10%-15%. When combined with depleted risk buffers, ETH depositors could still bear a remaining loss of 2%-3%. Under these expectations, ETH providers tend to exit as quickly as possible, resulting in market utilization being locked at 100%. Meanwhile, borrowing rates are not sufficient to incentivize wstETH, weETH, and other leveraged positions to deleverage and release liquidity. At the same time, since ETH cannot be withdrawn, users who have borrowed stablecoins such as USDT against ETH collateral find it difficult to close their positions in time, even if stablecoin borrowing rates rise, and the original market incentive mechanisms have been disrupted. monetsupply.eth further pointed out that in the "locked" state of 100% utilization, the DeFi market may face a cascading liquidation crisis with two major distorted incentives: first, ETH holders are unable to adjust their collateral health ratio, and liquidators cannot withdraw and sell collateralized assets, so if the ETH price drops, bad debt could accumulate rapidly; second, stablecoin depositors are instead motivated to "exit indirectly" by lending out other stablecoins, allowing them to lock in about 75% of their fund recovery at relatively low cost, as long as yields remain positive. For lending markets that rely on liquidity pools and rehypothecation, liquidity must be prioritized. However, the recent lowering of the maximum borrowing rate cap (slope2) by Aave is weakening deleveraging incentives, significantly increasing the risk of systemic market failures.