There Are New Developments in the KelpDAO Hack, the Largest of Recent Times, Which Affected Aave

As the recovery process accelerates following the KelpDAO-related rsETH crisis, the project has made a crucial financial contribution. KelpDAO announced a contribution of 2,000 $ETH (worth approximately $4.5 million) as part of its “DeFi United” rescue initiative.

According to the announcement, this funding will be used as part of a recovery plan led by Aave and involving many ecosystem players. The primary goal of the provided resources is to restore the rsETH peg and accelerate the system’s return to normal operation. KelpDAO stated that this contribution is a one-time investment and aims to directly support the return of rsETH to its peg.

Following the hack on April 18th, the “DeFi United” initiative was launched, creating a comprehensive recovery roadmap with key stakeholders such as Mantle, Consensys, Arbitrum, Lido Finance, and LayerZero. This plan aims to recapitalize bridge vaults, restore oracle systems, and close funding gaps in affected markets.

KelpDAO, in its statement, asserted that protecting rsETH investors is a priority, stating that “rsETH holders will not be abandoned.” The 2,000 $ETH contribution provided was claimed to be a concrete demonstration of this commitment.

The project announced that the rsETH staking mechanism will gradually return to normal as funds become available, and that updates regarding the process will be regularly shared with the community.

*This is not investment advice.