LayerZero Provides $23M Support to AAVE | Kelp DAO
Tech LayerZero Provides $23M Support to AAVE | Kelp DAO LayerZero has finally decided to join the DeFi United initiative established to heal the wounds of the $292 million Kelp DAO hack. In the announcement made on Tuesday, the crypto infrastructure provider is donating 5,000 ETH and investing an additional 5,000 ETH to strengthen AAVE detailed analysis liquidity. With this step, LayerZero is providing a total of $23 million in support based on the ETH price of approximately $2,300 at the time of publication. The protocol will also take further measures to increase the liquidity of Aaves native stablecoin GHO, as stated in its X post. Thus, it has concretized the industry-wide recovery plan it announced five days ago. AAVE Recovery Plan Strengthened by LayerZeros Contribution The hack occurred on April 18 with a complex RPC poisoning attack on LayerZero Labs Decentralized Verifier Network; attackers forged cross-chain messages to release 107,000 unsupported rsETH from the Kelp bridge on Ethereum. These rsETHs flowed into debt positions on Aave, creating serious bad debt in the protocol. DeFi United, led by Aave, collected more than $300 million in ETH and stablecoins; a detailed technical recovery plan was made public. Accusations weigh heavily on LayerZero as KelpDAO used