Aave (AAVE) announced that it plans to completely revamp its collateral valuation and listing standards after the KelpDAO hack. According to CoinDesk, Aave will revise and release a minimum standard playbook for issuers that evaluate all future collateral assets and list them on the protocol, not only in terms of price volatility but also cybersecurity, interoperability, and technical architecture. Linda Jeng, Chief Legal & Policy Officer at Aave Labs, stated, "While the protocol's existing risk management framework is robust, it is too heavily weighted towards financial risk and volatility." She added, "During financial crises, governments had to bail out banks. But this time, the entire ecosystem came together to bail itself out. Standards are being raised as a result of experiencing such crises."
