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Guavy AI Editorial Team••Sentiment: -3•Clout: 85

Arbitrum Freezes $71 Million ETH After Kelp DAO Bridge Hack Incident

ZRODAOARBETH

Arbitrum has taken swift action in response to a recent Kelp DAO bridge hack, freezing over $71 million worth of Ethereum (ETH) in an effort to secure assets and prevent further losses.

The incident saw hackers steal approximately $292 million worth of rsETH, sparking concerns among DeFi protocols regarding the safety of bridges' architecture. Initial findings from LayerZero suggested that the hack was linked to the North Korean hacking group known as Lazarus Group.

Arbitrum's Security Council worked closely with law enforcement to identify the exploiter and freeze the funds in a frozen intermediary wallet. The council emphasized that maintaining network integrity is crucial during this process, striking a balance between security and continuity for the entire ecosystem.