Consensys and Joseph Lubin have committed up to 30,000 ETH in financial support toward the DeFi United rsETH recovery effort. SharpLink is also participating in a strategic advisory capacity. The contribution is particularly significant given that the 30,765.67 ETH frozen by the Arbitrum Security Council will not be liquid for approximately 49 days pending governance approval.

The rsETH backing shortfall is now effectively covered by a combination of previously announced and newly confirmed commitments. These include contributions from Aave DAO, Lido, EtherFi, Ethena, Mantle, and Compound Finance, which committed 3,000 ETH. The Babylon Foundation is also depositing 3 million USDT into Aave, and Tron is depositing 20 million USDT into Aave to assist with liquidity. The stablecoin deposits have helped ease utilization rates slightly, allowing USDT lenders to begin withdrawing.

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Aave founder Stani Kulechov announced that the DeFi United initiative has secured sufficient funds to restore the full backing of rsETH following the April 18 LayerZero bridge exploit. Execution remains pending, subject to governance votes and the finalization of indicative agreements. Aave has also aligned with KelpDAO and LayerZero on the technical steps required to carry out the recovery plan.

Over the weekend, Aave submitted a governance proposal to the Arbitrum DAO requesting the release of 30,765.67 ETH frozen by the Arbitrum Security Council in connection with the exploit. If approved, the funds would be directed into a 2-of-3 Gnosis Safe controlled by Aave Labs, KelpDAO, and Certora, and applied solely toward restoring rsETH's backing. The full AIP governance process is estimated to take approximately 49 days to complete. Aave expects to release a detailed recovery plan and next steps for affected users in the coming days.

EarnUSD is a stablecoin vault by Lido for earning transparent, onchain USD-denominated rewards. Get started today at stake.lido.fi/earn

Disclaimer: Content is for informational purposes only, not endorsement or investment advice. The accuracy of information is not guaranteed.

• Aave DAO offers 25k ETH to DeFi United.

• EF swaps aWETH for wstETH.

• Polymarket plans a chain migration.

• Bitmine buys 10k ETH from EF.

EarnUSD is a stablecoin vault by Lido for earning transparent, onchain USD-denominated rewards. Get started today at stake.lido.fi/earn

Aave service provider TokenLogic proposed allocating 25,000 ETH from the Aave DAO treasury to DeFi United, the coalition aiming to fully restore backing for KelpDAO's rsETH. Aave calculates a residual funding gap of approximately 75,081 ETH after the Arbitrum Security Council's 30,766 ETH freeze and expected liquidation recoveries from the attacker's positions on Aave and Compound. Aave's contribution, combined with Mantle's 30,000 ETH credit facility and pledges from Lido, EtherFi, Ethena, Ink, BGD Labs, and others, is expected to completely fill the rsETH shortfall. The proposal will advance to a Snapshot vote by AAVE token holders. Read more →

The Ethereum Foundation exchanged 21,269 aWETH from its Aave lending position for 17,254 wstETH in a transaction with Mellow and Lido Finance. Mellow, a curator for Lido's EarnETH vault, used the aWETH to pay down the vault's WETH debt on Aave after the KelpDAO exploit drove Aave's WETH market to peak utilization. The swap reduced EarnETH's outstanding WETH debt from approximately 82,000 to 62,000 WETH, improving the vault's health factor. Read more →

Polymarket's VP of Engineering DeFi posted an engineering roadmap to scale the platform's infrastructure to meet growth. The roadmap includes plans for a chain migration aimed at offering more block space, lower gas costs, and faster block times. It was not specified whether Polymarket will launch its own chain or migrate to an existing L1 or L2. Other near-term priorities include rebuilding CLOB, reducing onchain data latency, and shipping a unified TypeScript SDK and WebSocket API. Read more →

• Ethereal news weekly #20

• EF sells 10k ETH to Bitmine

• Storm faces potential retrial

• DeFi United public contributions

• DeFi United dashboard

• Ernesto contributes 100 ETH

• BGD Labs contributes 250 ETH

• Chainlink data on AWS

• Lighter supports ETH collateral

• Sky Laniakea institutional infra

• mETH enables redemptions

• Fluent L1 goes live

Disclaimer: Content is for informational purposes only, not endorsement or investment advice. The accuracy of information is not guaranteed.