Aave Releases April 18th rsETH Incident Retrospective

BlockBeats News, May 31st - Aave's postmortem report on the April 18th rsETH incident revealed that the rsETH LayerZero V2 cross-chain bridge of the liquidity protocol Kelp received a forged message during the Unichain to Ethereum cross-chain process. This led to the release of 116,500 rsETH on the Ethereum side without a corresponding burn on the Unichain side.

Aave stated that the attack occurred on a third-party cross-chain bridge infrastructure, but the attacker deposited the stolen rsETH into 8 Aave V3 positions and borrowed 82,650 WETH and 821 wstETH, impacting the Aave market. Aave mentioned that the attacker's rsETH on Arbitrum has been burned, the LayerZero OFT adapter has minted 116,131.72 rsETH in 5 batches to make up for the shortfall, the rsETH asset backing has been fully restored, and the affected WETH and rsETH markets have returned to normal.