Kelp DAO Exploit Triggers Aave Liquidity Crunch and 13.4% Stablecoin Yields

An attacker exploited Kelp DAO’s LayerZero-powered cross-chain bridge on April 18 to mint about 116,500 unbacked rsETH worth around $292 million and post it to Aave as collateral. The attacker then borrowed an estimated $190–230 million of real assets, while Aave said the protocol functioned as designed and called the shortfall structural rather than technical. Within 48 hours, Aave saw $6–10 billion in net outflows, utilization in WETH, USDT, and USDC pools hit 100%, and stablecoin deposit APYs rose to 13.4%. Morpho’s USDC vault rose to 10.81% APR the next day, and total DeFi TVL across the top 20 chains fell by more than $13 billion.

AAVE0,62%
ZRO2,12%
USDC0,01%
MORPHO-2,01%
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