Aave Cuts Support for Low-Activity DeFi Chains Amid $1.3 Billion Hack Losses

DeFi hacks caused $1.3 billion in losses in the first half of 2026, with over 40% coming from KelpDAO and Drift Protocol breaches that exploited infrastructure flaws.

In response, Aave and LayerZero have cut support for multiple low-activity 'ghost chains' to reduce risks linked to weak security and single-verifier setups. This move is aimed at strengthening security and reducing attack surfaces.

However, experts are divided on the issue, with some seeing the purge as necessary to protect users while others warn it may harm new chains and leave major exploit vectors unaddressed.