Kelp DAO shifts blame to LayerZero for $292 million exploit; Aave examines bad debt scenarios
The Block
Kelp DAO and LayerZero are trading blame following a $292 million hack, while Aave evaluates potential bad debt impacts on its protocol.Summary
Kelp DAO is disputing responsibility for a $292 million exploit, asserting that its 1-of-1 DVN configuration was the default setting recommended by LayerZero. LayerZero, however, argues that Kelp DAO ignored best practices regarding diversification. Meanwhile, the Aave protocol is assessing risks after the exploiter used stolen rsETH as collateral to borrow assets, potentially creating significant bad debt. Aave has outlined two recovery scenarios depending on how Kelp DAO manages loss allocation, noting that its own balance sheet remains strong with ecosystem support.
(Source：The Block)