[Chaos Labs: Aave's $27 Million Liquidation Incident Caused by CAPO Oracle Configuration Issue] According to an analysis report released by Chaos Labs, the recent $27 million liquidation incident on Aave was caused by a configuration issue with the CAPO risk oracle. The root cause lies in inconsistencies in update constraints at the smart contract level: the `snapshotRatio` parameter was restricted by an on-chain constraint allowing only a 3% increase every three days, making it impossible to update directly from approximately 1.1572 to the target value of approximately 1.2282, and instead only allowing an increase to approximately 1.1919. Meanwhile, the `snapshotTimestamp` was successfully updated to a timestamp from seven days prior. This misalignment between the ratio and the timestamp caused the CAPO-calculated exchange rate ceiling (approximately 1.1939) to be 2.85% lower than the actual market exchange rate, triggering the liquidation of approximately 10,938 wstETH. The protocol did not incur bad debt during the incident. Chaos Labs and BGD Labs immediately reduced the wstETH borrowing cap for the affected instance to 1 and manually aligned the parameters via the Risk Steward to restore the exchange rate. A total of 141.5 ETH has been recovered through BuilderNet, which will be used to compensate affected users. The remaining portion will be covered by the Aave treasury, with the amount requiring temporary compensation from the DAO estimated to be no more than 345 ETH.