Aave liquidates Kelp DAO hacker’s rsETH positions on Ethereum, Arbitrum
Galaxy Digital’s Thaddeus Pinakiewicz noted that Aave is now only 10% short of recovering from the bad debt that hit its lending protocol after the Kelp DAO hack.
Aave Labs has liquidated the Kelp DAO attacker’s remaining rsETH positions on Ethereum and Arbitrum, moving one step closer to fully restoring rsETH backing and compensating affected users.
This marks a “critical step” in the “DeFi United” recovery plan, Aave posted on X on Wednesday. It added that the liquidated collateral tied to the $293 million exploit on April 18 was transferred to Recovery Guardian, a multisignature wallet managed by DeFi United.
DeFi United is now only about 10% short of the Ether (ETH) needed to restore the Kelp DAO restaked ETH (rsETH) token, according to Thaddeus Pinakiewicz, vice president of Galaxy Digital’s research team.