Max retweeted
The attacker’s rsETH on Arbitrum has been burned. As the last step is to refill the rsETH bridge lockbox. Meanwhile withdrawals for rsETH into ETH will start within the next 24 hours to normalize the markets.
The past few weeks, including weekends, have been incredibly intense. None of this would have been possible without the entire team working around the clock on this recovery effort. We're building a new level of resiliency and a post mortem will follow with new learnings.
Max retweeted
117,132 rsETH being refilled on-chain. Withdrawals resuming within 24 hours. Full operations back shortly after.
Grateful to @aave and every DeFi United partner who moved fast when it mattered.
Kelp and Aave have successfully completed a series of steps for rsETH backing, including burning the exploiter’s rsETH on Arbitrum.
117,132 rsETH will be progressively refilled from Aave Recovery Guardian and Kelp Recovery Safe into the LayerZero OFT adapter on mainnet over the next two weeks. rsETH on Mainnet and L2s remains fully backed at all times.
Kelp will unpause withdrawals, tentatively within 24 hours, after the first tranche to the LayerZero OFT adapter. All rsETH operations - deposits, redemptions, bridging, and claims - will resume as usual after contracts are unpaused.
Last week, we completed a security hardening pass across all LayerZero bridging configurations: verification now requires 4 independent attestors, block confirmations have been raised from 42 to 64, and all L2-to-L2 routes have been deprecated. These changes have been audited by BailSec. We are in the process of migrating to CCIP for further strengthened cross-chain bridging.
Thanks to the @aave team and our DeFi United partners for being the cornerstone of this recovery.
Max retweeted
Kelp and Aave have successfully completed a series of steps for rsETH backing, including burning the exploiter’s rsETH on Arbitrum.
117,132 rsETH will be progressively refilled from Aave Recovery Guardian and Kelp Recovery Safe into the LayerZero OFT adapter on mainnet over the next two weeks. rsETH on Mainnet and L2s remains fully backed at all times.
Kelp will unpause withdrawals, tentatively within 24 hours, after the first tranche to the LayerZero OFT adapter. All rsETH operations - deposits, redemptions, bridging, and claims - will resume as usual after contracts are unpaused.
Last week, we completed a security hardening pass across all LayerZero bridging configurations: verification now requires 4 independent attestors, block confirmations have been raised from 42 to 64, and all L2-to-L2 routes have been deprecated. These changes have been audited by BailSec. We are in the process of migrating to CCIP for further strengthened cross-chain bridging.
Thanks to the @aave team and our DeFi United partners for being the cornerstone of this recovery.
Max retweeted
rsETH operations update.
Over the next 24 hours, the Kelp team will be executing a coordinated sequence of contract operations alongside @aave as part of the next steps in the rsETH backing process. There is no user action required during this window.
Please rely only on official Kelp channels for the reopening window. We will share next steps once the operations are complete.
Max retweeted
LayerZero Labs is pledging more than 10,000 ETH to @Aave-led DeFi United efforts. We are:
• Donating 5,000 ETH to DeFi United
• Depositing an additional 5,000 ETH to strengthen Aave markets liquidity
• Strategically deepening GHO liquidity
As part of an industry-wide recovery initiative, LayerZero's proposed contribution would go towards the best path forward to restoring rsETH backing.
We have been closely coordinating with Aave and all other parties like EtherFi, Ethena, Arbitrum, and Kelp who have been working tirelessly to ensure the best possible outcome for crypto.
Max retweeted
Pleased to announce that @ethereumJoseph and @Consensys are joining the DeFi United recovery efforts with 30,000 ETH to fully back rsETH and help restore confidence in DeFi.
This is substantial support in the spirit of strengthening the DeFi ecosystem. Grateful for the participation from the leading Ethereum stewards.
Leading Ethereum stewards @Consensys and @ethereumJoseph have joined DeFi United with up to 30,000 ETH in financial support for the rsETH recovery effort, with ongoing strategic advisory from @Sharplink.
Their contributions are a substantial component of the broader DeFi United effort to restore rsETH's backing and normalize market conditions, and the recovery would not be progressing as it is without them.
DeFi United.
Max retweeted
Aave service providers and ecosystem partners have established a recovery fund that factors in pending DAO votes, including the Arbitrum governance vote, indicative agreements, and successful execution to restore rsETH’s full backing.
We are DeFi United, and resolving this for affected users and the broader DeFi ecosystem is our top priority.
We have aligned with @KelpDAO and @LayerZero_Core on the technical steps required to execute our plan. That work is now moving forward.
Thank you to everyone who contributed to DeFi United and to the thousands of community members who stood with us throughout. Watching the DeFi community come together has been genuinely inspiring.
The final recovery plan, steps for users, and further updates will follow shortly.
Max retweeted
After discussions with several stakeholders, Aave service providers, @Ether_fi, @KelpDAO, @LayerZero_Core, @compound_xyz, and others have submitted a governance proposal to the @arbitrum DAO requesting the release of ETH frozen by the Arbitrum Security Council following the April 18 rsETH incident.
If released, the funds will be directed into DeFi United, a coordinated cross-protocol recovery effort aimed at restoring rsETH backing and remediating impairment of rsETH for users. This contribution would meaningfully advance the path to resolution as others confirm their commitments.
The proposal is open for review, and we welcome feedback from the Arbitrum community.
forum.arbitrum.foundation/t/…
Max retweeted
Ladies and gentlemen, we did it!
Aave now has enough capital to fully cover the losses from the rsETH exploit.
Huge win for both Aave and DeFi.
rsETH hole filling tracker:
Hole: 112204 rsETH = 118.4k ETH
Lido: -2.5k ETH
Etherfi: -5k ETH
Arbitrum freeze: -30.7k ETH
Ethena: Didn't say how much, assume -1k ETH
Excess rsETH in aave / coumpound: ~-15k ETH
Stani personal donation: -5k ETH
Layerzero: Didn't say how much, assume -5k ETH
Mantle: -30k (!!!!)
Kraken / Ink: Didn’t say how much, assume -5k eth
Golem: -1k eth
Ernesto: -0.1k eth
BGD labs: -0.25k ETH
Emilio: -0.5k ETH
Aave dao: -25k ETH
THE HOLE IS FILLED.
likely goal is now reducing the amount they need to borrow from Mantle.
Far better outcome if Aave themselves have to take on no laons
Max retweeted
Aave DAO is proposing to contribute 25 000 ETH for DeFi United efforts to back rsETH. This is a significant contribution to close the funding gap and restore the markets.
DeFi United.
Aave service providers have published an Aave DAO governance proposal to contribute 25,000 ETH to the ongoing DeFi United effort.
Aave DAO's ETH contribution would go towards the plan to restore rsETH's backing to try and normalize market conditions as quickly as possible.
DeFi United.
governance.aave.com/t/arfc-r…
Max retweeted
Aave service providers have published an Aave DAO governance proposal to contribute 25,000 ETH to the ongoing DeFi United effort.
Aave DAO's ETH contribution would go towards the plan to restore rsETH's backing to try and normalize market conditions as quickly as possible.
DeFi United.
governance.aave.com/t/arfc-r…
Max retweeted
While the team and partners finalize other commitments, me, @mark_is_here, @lochieaxon, @alexvanderzon and others spun up a dashboard to track contributions.
Someone also donated defiunited.eth for those wanting to contribute.
Really inspiring to see the community come together on DeFi United.
defiunited.world
Max retweeted
I am committing 500 ETH to the Defi united recovery fund. This represents a large part of my crypto holdings, but there are things that are more important than money - Like Stani, I have been working on Aave since the beginning and the only thing I care about is to see it succeed. There are no defeats in life, only lessons. We will be coming back stronger.
Aave will win.
Max retweeted
Kelp and @aave have been working closely with ecosystem partners since April 18 to coordinate a recovery effort for rsETH holders. We want to share some factual statements about where we are, progress made, and the next steps.
@ether_fi @ethena @LidoFinance @golemproject @inkfndhq @tydrohq @Mantle_Official @fraxfinance and layerzero have each committed in best capacity. We greatly appreciate their contributions. More announcements to follow.
The initial shortfall from the incident was 163,200 ETH. Kelp recovered 40,300 rsETH (~43,000 ETH), while the @arbitrum Security Council secured another 30,700 ETH. Following these recoveries, the remaining shortfall stands at approximately 89,500 ETH.
Of that remaining gap, confirmed public commitments from Mantle, Stani, EtherFi, Lido, Golem total 43,500 ETH. Kelp has been in direct conversations with partners in this effort to formalize the contributions.
rsETH holders come first, and that’s been our priority since day 1. We will continue sharing updates as further commitments are confirmed.
DeFi United.
Max retweeted
History will remember this as the day competitors laid down their arms and stood together.
The day total values mattered more than total value.
The day DeFi united.
rsETH hole filling tracker:
Hole: 112204 rsETH = 118.4k ETH
Lido: -2.5k ETH
Etherfi: -5k ETH
Arbitrum freeze: -30.7k ETH
Ethena: Didn't say how much, assume -1k ETH
Excess rsETH in aave / coumpound: ~-15k ETH
Stani personal donation: -5k ETH
Layerzero: Didn't say how much, assume -5k ETH
54.2k ETH left to find
Max retweeted
A historic first: We’ve partnered with @superstatefunds to allow stockholders to tokenize and hold $GLXY shares onchain. This milestone marks the first time a public company has tokenized its SEC-registered equity directly on a major blockchain. Effective immediately, stockholders can now tokenize their GLXY shares through Superstate’s Opening Bell platform.
ALT Galaxy and Superstate Launch GLXY Tokenized Public Shares on Solana