Key Takeaways:
Aave Labs, KelpDAO, and three other protocols filed a Constitutional AIP on April 25 to release 30,765.67 ETH frozen by Arbitrum’s Security Council. The KelpDAO bridge exploit created an rsETH backing shortfall of approximately 76,127 rsETH, directly affecting Aave V3 Arbitrum users. If Arbitrum DAO approves the vote, the 49-day governance process will route recovered ETH to a 2-of-3 Gnosis Safe for rsETH remediation. DeFi Coalition Targets Arbitrum DAO to Unlock ETH Frozen in KelpDAO rsETH ExploitAt the time of the report, only 40,373 rsETH remained in the adapter as confirmed backing for 152,577 rsETH in remote-chain claims. The resulting backing shortfall sits at approximately 76,127 rsETH.
A Snapshot temperature check may be conducted before the proposal moves onchain. If it advances, the onchain vote will be submitted through Tally and target the Arbitrum Core governor as a Constitutional AIP.
The authors stated the outcome for Arbitrum users is better than leaving the funds frozen, whether the recovery is full or partial.
