BroadChain News, April 28 - On April 27, the CFTC filed a lawsuit against New York State, seeking a court ruling to grant it exclusive regulatory authority over prediction markets, in order to block New York State's crackdown. Previously, New York State had sued Coinbase and Gemini over their prediction market businesses, and the CFTC has also filed similar lawsuits against Arizona, Illinois, and Connecticut, as the jurisdictional dispute between federal and state regulators continues to escalate.
TokenLogic, the service provider for Aave DAO, has released an ARFC proposal confirming that AAVE repurchases have been suspended since April 19. The suspension stems from a vulnerability attack on Kelp's LayerZero rsETH bridging route on April 18, which led to undercollateralized rsETH flowing into the Aave V3 multi-chain market. The protocol guardian and risk management team have frozen all rsETH and wrsETH reserves and adjusted related WETH interest rates. Due to significant uncertainty regarding the allocation of losses from the incident, asset recovery, and the DAO's response plan, the DAO has decided to suspend repurchase operations to maintain financial flexibility, pending a reassessment once the situation becomes clearer.
Polymarket has announced a planned upgrade at 11:00 UTC on April 28, with trading expected to be suspended for one hour. The upgrade includes launching the new smart contract CTF Exchange V2, restructuring the order book system, and migrating collateral assets from USDC.e to the new collateral token Polymarket USD (pUSD). During the upgrade, all existing order books will be cleared, and users will need to re-place orders after completion. However, most users will not require additional actions, except for a one-time authorization needed for their first transaction. The CTFv2 contract has been audited by Cantina and Quantstamp.