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Wu said that positions related to wstETH on Aave were liquidated in E-Mode due to a CAPO oracle configuration error, resulting in a loss of approximately 345 ETH. Chaos Labs founder Omer Goldberg stated that the issue stemmed from the oracle snapshot ratio and timestamp constraints being out of sync, causing the oracle price to be undervalued by about 2.85%, which triggered the liquidation. The Aave team stated that no bad debt was incurred, affected users will receive full compensation, and approximately 141 ETH has already been recovered through BuilderNet.