According to Aave, the proposal follows an April 18 bridge incident that abnormally released 116,500 rsETH from an Ethereum-side adapter, affecting collateral backing for the restaked Ether token.
Aave said DeFi United has released a plan to restore backing for KelpDAO rsETH, a restaked Ether token, after an April 18 bridge incident. According to Aave, 116,500 rsETH were abnormally released from an Ethereum-side adapter during the event. In crypto markets, a bridge incident can disrupt the relationship between a token and the assets or mechanisms meant to support its value, making restoration plans important for users, lenders, and decentralized finance protocols that rely on accurate collateral backing.