The post HypurrFi reports Aave V3 bug amid escalating V4 upgrade drama appeared on BitcoinEthereumNews.com.

HypurrFi, a lending market on Hyperliquid’s HyperEVM supporting both pooled and isolated markets, has exposed a rounding vulnerability within the Aave V3 core code prior to 3.5, putting a hold on XAUTO and UBTC markets to ensure the safety of user funds.  The news comes in as Aave Labs published a detailed report on the success of the V4 upgrade, stating that after a year of testing, no critical vulnerabilities were found. So while the progress of the V4 upgrade is interesting, there remains lingering doubt due to an apparent bug currently in the protocol, housing $26.5 billion in user deposits.  What did HypurrFi find? HypurrFi, through its internal monitoring system, discovered errors in Aave’s V3 calculation logic, immediately pausing new deposits and borrowing in the affected markets. The move was made in order to ensure the safety of user funds and allow withdrawals and repayments without any risks involved.  In order to address the issues, HypurrFi has now teamed up with Aave deployers and security researchers. They also urged other Aave fork projects to contact them for security insights, hinting that the vulnerability might affect other platforms outside their own markets. The recent developments raise questions about the Aave V3, potentially giving Aave Labs more points in arguing the urgency of its highly contested V4 upgrade. Aave made over $120 million in revenue last year, per Defillama data.  How secure is Aave Labs’ V4 upgrade? Just a few days before the rounding vulnerability was exposed, Aave Labs published a comprehensive security report for V4. The document included details of the year-long review process conducted from March 2025 to February 2026. The process took a total of 345 review days, involving multiple audit firms, including Certora, ChainSecurity, Trail of Bits, and Blackthorn. It also included over 900 independent researchers who…

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Filed under: News - @ March 6, 2026 8:29 pm