Aave's liquidity returns to normal levels after major outflow

Liquidity on the crypto lending protocol Aave has returned to normal levels, according to on-chain analysis firm Sealaunch Intelligence. The firm noted that in Aave's core market, WETH liquidity stands at approximately $448.61 million, while USDT and USDC liquidity is around $400 million. Utilization rates for these three markets are moving within a range of 89% to 92%. Sealaunch added that liquidity for other major cryptocurrencies has also recovered to healthy levels. The recovery follows a $10 billion outflow of deposits from the protocol last month in the wake of the hack on ETH staking protocol KelpDAO's rsETH. Aave, which is leading the 'DeFi United' initiative, announced yesterday that it had completed the first phase of technical recovery related to the rsETH hack.