Crypto News Flash: LayerZero Points to Lazarus Group After $292 Million rsETH Exploit Hits Kelp DAO Yahoo Finance: Kelp DAO Exploit Sparks Aave Liquidity Crunch, $6.2 Billion Withdrawal Panic A cross-chain bridge exploit at Kelp DAO on April 18 drained about 116,500 rsETH, worth nearly $293 million, and triggered a rapid response across decentralized ... Kelp DAO lost $292M in a bridge exploit targeting its LayerZero integration, forcing Aave, SparkLend, and others to freeze rsETH markets in 2026's largest hack. Kelp DAO lost 116,500 rsETH worth about $292 million on April 18, making it the biggest DeFi exploit of the year so far.

Understanding the Context

LayerZero Points to Lazarus Group After $292 Million rsETH Exploit Hits Kelp DAO Kelp DAO bridge hack results in $292M loss from rsETH reserves, marking 2026's largest DeFi exploit and impacting cross-chain protocols. TechStory: DeFi’s Darkest Day: How a $292 Million Kelp DAO Exploit Rocked the Crypto Market An advanced hacker drained around $292 million from Kelp DAO over the weekend as the largest crypto exploit of 2026 so far by using a bridge in Kelp’s protocol. The hacker was able to take 116,500 ... DeFi’s Darkest Day: How a $292 Million Kelp DAO Exploit Rocked the Crypto Market Decrypt: Kelp DAO Exploit Sparks Aave Liquidity Crunch, $6.2 Billion Withdrawal Panic FinanceFeeds: Kelp DAO Exploit Drains $292M in rsETH as Cross-Chain Bridge Targeted M drained from Kelp DAO after Lazarus Group exploited single-verifier bridge setup, triggering losses across nine DeFi protocols including Aave.

Key Insights

Aave has seen more than $5.4 billion in ETH withdrawn after the Kelp DAO rsETH exploit raised fears of bad debt on the protocol. CoinDesk: A $300 million borrowing spike on Aave signals liquidity crunch after KelpDAO exploit A $300 million borrowing spike on Aave signals liquidity crunch after KelpDAO exploit Yahoo Finance: Kelp DAO Bridge Exploit Drains $292 Million in rsETH and Triggers Aave Freeze Kelp DAO was hit by a major exploit on Friday that drained roughly 116,500 rsETH, worth about $292 million, in ...