Aave liquidates Kelp DAO attacker remaining rsETH, $292 million black swan event enters the final stage

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Golden Finance reports that on May 7th, Aave liquidated all rsETH positions of the Kelp DAO attacker. As part of the previously disclosed recovery plan, Aave temporarily manipulated oracle prices through governance voting to create counterparty losses and complete the liquidation. The liquidated collateral will be transferred to the Recovery Guardian multi-signature address managed by DeFi United, used to restore rsETH asset backing and compensate affected users. Currently, DeFi United has raised over $320 million.
Earlier reports indicate that on April 28th, suspected North Korean hackers exploited the LayerZero bridge vulnerability to mint 116.5k rsETH out of thin air and arbitrage across protocols through borrowing.

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