Kelp DAO Suffers $292 Million rsETH Exploit – Details
Wu Blockchain reports that Kelp DAO has suffered a massive cross-chain exploit that drained approximately 116,500 rsETH, valued at nearly $292 million. The incident raises fresh concerns about the protocol’s security, coming less than a year after a previous disruption tied to a smart contract bug Related Reading: $20M Crypto Scam Lands Texas Man 23-Year […]
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One of DeFi’s largest exploits in recent memory took a new turn on Tuesday as Arbitrum’s Security Council moved to freeze $71 million of the stolen funds — and the attacker responded almost immediately. The incident began when an unknown attacker exploited a vulnerability in Kelp DAO’s LayerZero-powered bridge, draining 116,500 rsETH — approximately $292 […]
KelpDAO’s liquid restaking token, rsETH, has become the center of a major DeFi recovery effort after a hack estimated at roughly $290 million. The latest development came on Thursday, when Lido Finance unveiled a proposal aimed at supporting Aave’s (AAVE) coordinated response to the rsETH shortfall. Lido Joins rsETH Recovery Effort The Lido plan was submitted to Aave’s Research Forum following this week’s Kelp incident involving the rsETH LayerZero bridge exploit. While the exploit’s details were still unfolding, Aave moved quickly to organize a larger, ecosystem-wide effort—“DeFi....
DeFi is having one of its most difficult weeks in recent memory. What started as a single exploit on April 19 has since cascaded into a system-wide liquidity shock that has rattled confidence across the ecosystem and raised questions that go well beyond the incident itself. Related Reading: Another $142M Staked – Bitmine Tightens Its Grip on Ethereum Supply The event began at Kelp DAO, where an attacker identified and exploited a critical flaw in the protocol’s collateral system. To understand what happened, it helps to understand what rsETH is supposed to be. Under normal....
KelpDAO’s $290 million rsETH exploit has moved into a new phase, with LayerZero and Aave now publicly outlining how the incident unfolded, why the damage appears contained, and what it could mean for crypto cross-chain security standards going forward. The central claim from LayerZero is that the exploit was not a failure of the protocol […]
David Schwartz, the former Chief Technology Officer (CTO) of Ripple, has addressed recent concerns over DeFi bridge security, reassuring XRP Ledger (XRPL) users that the network is not exposed to attacks like those linked to the Kelp DAO exploit. He emphasized that vulnerability in cross-chain bridge systems largely depends on how they are designed and implemented, as well as on the level of reliance on external bridge infrastructure. How XRP Users Remain Protected From Kelp DAO-Related Exploits In an X post on April 20, Schwartz provided context on how users in the XRP Ledger (XRPL)....