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DefiLlama founders project three possible solutions to the Kelp DAO incident and the corresponding potential scale of bad debts. - CoinFeed
Time 00:39

DefiLlama founders project three possible solutions to the Kelp DAO incident and the corresponding potential scale of bad debts.

April 20, 2026
CoinFeed News

CoinFeed reported on April 20th that, according to DefiLlama founder 0xngmi's analysis on the X platform, Kelp DAO faces three potential solutions in the rsETH incident: Solution 1: Share the losses among all users, resulting in an 18.5% impairment for each user; Solution 2: Concentrate all losses on L2 rsETH holders, with Aave using its treasury to bail out mainnet users but abandoning the L2 market; Solution 3: Return assets to holders using a snapshot taken before the attack, only compensating for the portion borrowed by the hacker, which is extremely difficult to implement.

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