Comment by @stani • Hey

I think market adjustment. The rates are quite high and they probably are trying to offload these vaults and maybe use the funds to fund sDAI to compete mo

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I agree with this interpretation. Also, with current rates it made a lot of sense to borrow DAI, use the PSM to swap the DAI for USDC and then place those USDC at a better rate, affecting the security of the peg. Btw, they will try to compete but Aave still has more attractive rates for stables and it is available in cheaper chains 😅