Dragonfly Partner Haseeb: DeFi is resilient, and Aave's bad debt is not a fatal blow

Techub News message: Dragonfly Capital partner Haseeb said in a post on the X platform that, in relation to the recent bad-debt issues that Aave has experienced, he clearly still has confidence in DeFi’s long-term development potential. Haseeb noted that the DeFi industry has the characteristic of evolving through failures; whether it was the earlier Terra collapse, the 2020 Black Friday auction failure, or the stETH de-pegging event, each setback has made the field more resilient after the blow—similar to the logic of the bank and savings & loan crisis seen in the history of traditional finance. He emphasized that the core of DeFi lies in risk aversion and systemic resilience; even if Aave generates some bad debt, the protocol’s existing equity is sufficient to cover the related losses. Haseeb believes that the intense discussions within the community around improvement proposals are precisely the process that drives the industry forward, and DeFi will not disappear because of a single event.