Aave Labs has clarified that its proposed V3.8 security upgrade would preserve flash-loan liquidations. The October 23 response addresses how a reentrancy guard would interact with existing integrations.
TL;DR: Aave’s proposed V3.8 guard excludes flash-loan entry points. Governance approval and security audits remain pending.
The proposal, posted October 21, adds a guard to Pool operations. Such guards constrain the ability of an external callback to enter protected contract functions again be