Aave Faces Potential Losses of Up to $230 Million Following Kelp DAO Bridge Exploit
A recent exploit of the Kelp DAO and LayerZero bridge has put lending protocol Aave at risk of significant losses, potentially up to $230 million. The incident occurred when an attacker manipulated the bridge mechanism, creating unauthorized tokens without backing, and then used these tokens as collateral to borrow approximately $190 million in ETH and related assets from Aave. In response, Aave …
April 20, 2026, 9:03 p.m.