rsETH shock is testing DeFi’s weakest bridge 🔥

A bridge exploit at KelpDAO has turned into a liquidity stress test for the entire restaking stack, with about $292M drained and the attacker using the collateral across lending venues to leave bad debt risk behind. Aave has frozen rsETH and wrsETH on all chains, TVL has dropped sharply, and rates are spiking as capital pulls back fast; the market is now watching whether this stays contained or rolls into a broader liquidation cascade over the next 24-48 hours.

Not financial advice. Manage your risk and protect your capital.

#DeFi #Ethereum #Aave #Restaking #Crypto

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