U.S. court allows Arbitrum DAO vote to transfer 30,765 ETH to Aave custody amid rsETH exploit recovery

A U.S. federal court has authorized an onchain vote by Arbitrum DAO to transfer over 30,765 ETH related to the rsETH exploit recovery to a wallet controlled by Aave LLC. This legal intervention supports the transfer while court proceedings continue, ensuring the ETH remains frozen under court restrictions. The funds were originally immobilized after a major exploit drained nearly $292 million worth of rsETH. The transfer aims to simplify legal custody, with Aave LLC acting as custodian but barred from using the ETH without further court approval. Recovery efforts continue to restore collateral backing and stabilize affected DeFi markets.