News linked to both this project and an event.
According to on-chain analytics platform Lookonchain (@lookonchain), the wallet address 0x859D—associated with Fenbushi Capital—withdrawed 3,063 ETH (approximately $7.13 million) from Aave and immediately deposited them into Binance. These ETH were withdrawn from Binance one month ago at an average price of $2,017; the current unrealized profit is approximately $969,000.
Odaily报道 According to Ai Yi monitoring, a Galaxy Digital OTC-related address (0x16F...1Fde) has deposited 15,000 ETH, worth $34.74 million, to an exchange. These funds originated from 38,000 ETH withdrawn from Aave a week ago, which was the day when Kelp DAO was attacked, causing Aave to potentially face bad debt.
according to on-chain analyst Ai Yi's monitoring, an address linked to the Balancer attacker has transferred 5,609 ETH, worth $13 million, to THORChain over the past 9 hours. In November 2025, Balancer was hacked for over $116 million, a incident with the same suspected culprit as the Aave attack, both pointing to the North Korean hacker group Lazarus Group. Both entities have recently been frequently using Tornado Cash for money laundering.
According to on-chain analyst Yujin (@EmberCN), Aave covered $25,000 ETH (approximately $57.75 million) out of its own funds to address bad debt arising from the rsETH incident and spearheaded the “DeFi United” relief initiative. The total bad debt shortfall stands at 75,081 ETH; commitments for loans and donations totaling 69,576 ETH have already been secured, leaving a remaining gap of only 5,505 ETH. Multiple institutions—including LayerZero—have confirmed participation in the relief effort, though specific contribution amounts have not yet been disclosed. The shortfall is expected to be fully covered.
According to monitoring by crypto analyst @EmberCN, after Aave coordinated the establishment of "DeFi United" and received approximately 30,000 ETH in loans and 13,500 ETH in donations, the platform's capital outflows have shown signs of slowing.Data indicates that Aave's current total deposit scale stands at approximately $28.6 billion, a decrease of about $17.2 billion, or roughly 37%, compared to before the rsETH incident.
According to on-chain analyst Ai Aunt (@ai_9684xtpa), the address 0xb5E…Fc24e deposited a total of 1.397 million UNI tokens—worth approximately $4.6 million—into three exchanges two hours ago. Notably, the Bybit deposit address has had multiple interactions with the DeFi crypto fund DeFiance Capital, which is an investor in both Aave and LayerZero—two entities closely linked to the recent Kelp DAO hack incident.
According to information on the governance forum page, Mantle plans to provide Aave with a loan of 30,000 ETH to help it address the non-performing loan risk triggered by the recent attack. According to analyst Yujin’s statistics, confirmed rescue funds now cover a shortfall of approximately 43,500 ETH.
According to The Block, JPMorgan analysts noted in their latest report that ongoing DeFi security vulnerabilities and stagnant growth in total value locked (TVL) continue to constrain institutional enthusiasm for the DeFi sector. Recently, Kelp DAO’s cross-chain bridge suffered a major attack, during which the attacker minted $292 million worth of uncollateralized rsETH tokens and borrowed real ETH on Aave, resulting in approximately $230 million in bad debt. This caused DeFi TVL to evaporate by roughly $20 billion within several days. LayerZero and blockchain security researchers have attributed this attack to the North Korean hacker group Lazarus Group; some of the stolen funds have been frozen, while the rest remain in circulation. Analysts also pointed out that DeFi TVL denominated in ETH has remained range-bound for an extended period, raising market concerns about whether DeFi can achieve organic growth sufficient to support institutional adoption. Furthermore, following each security incident, users tend to shift funds into USDT as a safe-haven asset—yet this trend has not yet significantly driven USDT’s market capitalization growth.
According to information from the governance forum, Bybit’s public chain Mantle plans to lend 30,000 ETH to Aave to address the bad debt risks arising from recent security incidents.According to statistics from crypto analyst Ember (@EmberCN), the confirmed scale of bailout funds is estimated to cover a shortfall of approximately 43,500 ETH.
According to on-chain analyst Ember (@EmberCN), the rsETH incident on April 18 resulted in a funding shortfall of approximately 68,900 ETH (around $160 million): the hacker collateralized rsETH to borrow 99,600 ETH; after Arbitrum recovered 30,700 ETH, the remaining funds were fully converted by the hacker into BTC. The incident has now entered the remediation phase. Aave is coordinating the establishment of a “DeFi United” relief fund, which has so far received cumulative donations totaling 13,500 ETH (approximately $31.45 million). Donors include Lido Finance (2,500 stETH), ether.fi Foundation (5,000 ETH), Aave founder Stani Kulechov (5,000 ETH), Golem Foundation (1,000 ETH), as well as LayerZero and Ink Foundation (amounts undisclosed).
Spark announced on X that the total staked native token SPK has just surpassed 500 million tokens, reaching 509,969,466 tokens according to its displayed data. Users staking SPK can now participate in Season 4 of the Spark Points Program and earn points rewards. Previously, due to the rsETH security incident, funds continuously flowed out of Aave, while Spark absorbed some of the capital withdrawn by large whales/institutions from Aave.
According to on-chain analytics platform Lookonchain (@lookonchain), the whale address 0xE595 has fully sold its 12,223 AAVE tokens at an average selling price of $92, incurring a loss of approximately $514,000. Data shows that this address continuously purchased AAVE from October 23, 2025, to April 8, 2026—a period exceeding five months—accumulating a total investment of $1.65 million, with an average purchase price of $135.
According to the Aave Governance Forum, Gordon Liao, a Circle team member, has submitted an ARFC proposal recommending a two-step adjustment to the USDC interest rate model parameters on Aave v3 Ethereum Core to address the current liquidity shortage in the USDC pool. Current context: Following the rsETH incident on April 18, the USDC pool utilization has remained persistently near 100%, with available liquidity falling below $3 million. The borrowing rate has been stuck at the 14% cap for an extended period, and the pool’s total supply has contracted by approximately $60 million over the past 24 hours. As a result, the market is unable to clear via price mechanisms. The proposal’s core measures are as follows: Step 1 (to be executed immediately by Risk Administrators): Increase Slope 2 from 10% to 40%, decrease the optimal utilization rate from 92% to 87%, and temporarily suspend the Slope 2 risk oracle for USDC. Step 2 (to be completed within 5–7 days via governance vote): Further increase Slope 2 to 50% and reduce the optimal utilization rate to 85%. The proposal argues that many current borrowers are insensitive to interest rates and primarily borrow to bypass withdrawal queues and exit positions. Active leverage, meanwhile, is key to attracting new suppliers. Raising the maximum supply rate to the 40%–50% range is expected to draw in USDC liquidity within hours, driving utilization below the kink point and restoring the market’s normal clearing functionality.
Odaily News According to on-chain analyst Yu Jin's monitoring, Aave's TVL has fallen below $30 billion. The data has dropped from $45.8 billion before the rsETH incident to the current $29.6 billion, with an outflow amounting to $16.2 billion.
According to on-chain analytics platform Lookonchain (@lookonchain), a whale with the wallet address starting with 0xD91D created a new wallet (address starting with 0xEb2a) and deposited 9,500 wstETH into Spark. Subsequently, this address borrowed 9,500 ETH (valued at approximately $22.68 million) and sent it to Binance for sale. Later, the whale withdrew USDE from Binance to repay the loan on Aave.
According to on-chain analyst Yujin (@EmberCN), since the rsETH incident, funds have continuously flowed out of the Aave platform—approximately $15.1 billion in total over 3.5 days. Total deposits dropped from $48.5 billion pre-incident to $30.7 billion, representing a withdrawal of roughly one-third of funds; stablecoin outflows amounted to $4.5 billion. However, due to this capital outflow, the platform’s stablecoin deposit APY temporarily remained elevated at 13.4%. During the same period, Morpho saw outflows of approximately $1.5 billion, with total deposits declining from $11.7 billion to $10.2 billion. In contrast, Spark experienced逆势 fund inflows: its TVL rose from $1.9 billion to $3.2 billion—an increase of about $1.3 billion—partly driven by reallocation from whales such as Justin Sun and institutions withdrawing from Aave.
According to on-chain analytics platform Lookonchain (@lookonchain), funds continue to flow out of Aave, with some of those funds moving to Spark. Data shows that Aave’s current total value locked (TVL) has dropped to $16.432 billion, a decrease of $9.94 billion; meanwhile, Spark’s TVL has risen to $4.552 billion, an increase of $825 million.
According to on-chain analyst Ember (@EmberCN), the deposit receipt aEthWETH traded at a discount following Aave’s temporary suspension of WETH withdrawals. Whale address 0x8ad withdrew 13,000 ETH (approximately $30 million) from an exchange, swapped it to acquire 13,143 aEthWETH, and then repaid its ETH loan on Aave at a 1:1 ratio—netting a profit of 143 ETH (approximately $330,000).
According to on-chain analyst Ember (@EmberCN), a whale/institution that invested $500 million in BTC and ETH in early February—buying at the bottom—retrieved 17,400 ETH from Aave by directly swapping its deposit receipt (aEthWETH) for ETH at a ~1.8% discount, resulting in a loss of 310 ETH (approximately $720,000). The ETH obtained was then redeposited into Spark.
According to on-chain analyst Ember (@EmberCN), a whale address transferred 32,415 AAVE (worth approximately $3.01 million) to Binance four hours ago. The tokens had been held for over one year. The address originally withdrew the AAVE from Binance at an average price of $150 per token and sold them today at $93 per token, incurring a loss of approximately $1.85 million—a decline of 38%.