DeFiBearishCoinTelegraph · 4h ago7/10
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Kelp exploit highlights problem with non-isolated DeFi lending: Crypto execs
The Kelp exploit has exposed vulnerabilities in non-isolated DeFi lending protocols, where risk contagion can spread across multiple asset pools. According to Curve Finance founder, while isolation could have prevented the exploit's cascade effect, it would have required sacrificing capital efficiency—a fundamental tradeoff in DeFi protocol design.
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