Users of the Aave defi lending protocol who had borrowed from the wstETH/stETH pool suffered erroneous liquidations when a price oracle from Chaos Labs reported an inaccurately low price ratio between the two assets. The oracle bug caused some loans to report that they were below the required “health factor” (the ratio between the assets loaned and the amount of collateral provided by the borrower), triggering forcible liquidations across the platform amounting to $26.9 million.Chaos Labs, presumably embarrassed to have lived up to its name, promised to reimburse users whose positions were improperly liquidated.

Total loss estimated at $26,900,000.