Arbitrum Security Council freezes $72M stolen in North Korean crypto hack, plans fund redistribution via DAO vote.

The Arbitrum Security Council froze $72 million in stolen crypto funds traced to North Korean hackers following a Kelp DAO bridge attack that also affected Aave. This marks the council's first direct use of emergency powers to halt stolen assets, shifting from protocol fixes to social consensus intervention. The recovered funds will be redistributed to victims through a decentralized vote by Arbitrum DAO token holders. Council member Griff Green highlighted that operational security flaws like leaked private keys and social engineering pose greater risks than smart contract bugs, urging tighter controls on liquid staking tokens and improved industry security standards.