🪙 Cryptocurrency 2d ago · Peter Mwangi

Aave DAO Proposes 25,000 ETH to Support rsETH Recovery Plan

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Aave DAO proposes 25,000 ETH to help close rsETH shortfall after Kelp DAO bridge exploit.



Combined pledges, freezes, and Mantle credit facility aim to fully cover the remaining gap.



Exploit minted 116,500 rsETH, leaving Aave exposed to bad debt on V3 markets.




Aave DAO has introduced a governance proposal to allocate 25,000 ETH from its treasury to support a recovery plan following the April 18, 2026, rsETH bridge incident tied to Kelp DAO.



The proposal, published as an ARFC, outline

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