Arbitrum Freezes $100M in ETH Linked to KelpDAO Exploit

The Arbitrum Security Council has taken significant action to combat cross-chain vulnerabilities, freezing over $100 million in Ethereum (ETH) linked to the KelpDAO exploit.

The funds attributed to the Lazarus Group, a notorious hacking collective responsible for 18 DeFi attacks in 2026, have been targeted by the freeze. This move aligns with the trend of large-scale hacks this year and serves as a reminder of the ongoing risks in decentralized finance (DeFi).

Despite the Arbitrum freeze, the market remains confident that another major hack will occur before December 31, with odds holding firm at 100%. The lack of significant trade activity in the last 24 hours has not shifted these odds, which have already been priced into the market.