🔥Co-founder of Monad: Setting a rate limit on collateral supply could have prevented approximately $200 million in losses during today's rsETH incident

Monad co-founder Keone Hon stated that lending protocols for liquidity pools should set rate limits on collateral asset supply. For example, if the current supply is 100 million with an upper limit of 300 million, the supply should only be allowed to grow to 110 million within 10 minutes, rather than depositing the full 200 million at once. He pointed out that attack losses often depend on the size of the exit channel. Since lending protocols are the main exit route, introducing an intelligent cap mechanism can limit losses. Taking today's rsETH incident as an example, this mechanism could have prevented about $200 million in losses. Hon recommends that asset issuers support such mechanisms and audit supply caps to reduce risks.