Curve founder Michael Egorov (@newmichwill) shared his thoughts on Aave's bad debt crisis caused by the rsETH incident, pointing out that this is an inherent risk of the popular non-isolated lending model. He noted that while this model offers great scalability, it also comes with higher risks, making risk management the key (something Aave has historically handled very well). He further mentioned that lending markets could adopt a fully isolated model like Curve Finance or a more complex hybrid model, but the market has yet to fully understand the advantages of these approaches. Aave V4's 'hub and spoke' model might be a step toward a safer semi-isolated direction. https://(wublock123.com)/news/curve-founder-aave-crisis-highlights-non-custodial-lending-risk-aave-v4-semi-isolated-59764