Lido: The rsETH theft has impacted EarnETH, exposing approximately $21.6 million in losses; deposits and withdrawals have been suspended.

Lido posted on the X platform that on April 18th, the Kelp cross-chain bridge was attacked, resulting in the theft of approximately 116,500 rsETH (about $292 million), which were subsequently frozen on lending markets such as Aave. Their vault product, EarnETH, has approximately 9% risk exposure (about $21.6 million) through its rsETH/ETH leveraged position on Aave, and the increased lending utilization is putting cost pressure on other strategies. The team is working to deleverage and reduce overall risk. Lido pointed out that the ultimate impact on the rsETH position depends on the subsequent handling by Kelp, LayerZero, and Aave, including loss sharing, asset recovery, and bad debt disposal. Regarding risk mitigation, EarnETH can activate a $3 million "first-loss protection mechanism" (provided by the DAO vault) to cover losses if necessary; the specific scale of its use is still under further evaluation. The vault has currently suspended deposits and withdrawals to ensure fairness and complete loss assessment; if processing is slow, the redemption channel may be reopened based on the worst-case scenario of reduced losses. The official statement emphasizes that stETH and wstETH are unaffected, and the core staking protocol was not involved in this incident.