Aave launches joint industry plan to recover from rsETH exploit

DeFi protocol Aave has announced a detailed recovery process for the rsETH bridge vulnerability exploit that occurred on April 18. The plan, led by the industry joint response team DeFi United, aims to restore the collateral value of the leaked rsETH to its original level of 1.017 ETH. The recovery will begin with a governance proposal to resolve affected positions and a temporary adjustment of the rsETH price to facilitate liquidations. Recovered tokens will be collected in a multi-signature wallet, redeemed for ETH, and used to cover shortfalls in each market. Aave expects to recover approximately 13,000 ETH through this process. The movement of related assets will remain frozen until the recovery is complete.