Lido updates on Kelp security incident handling progress: EarnETH treasury plans to reopen after protocol recovery

Lido released the latest updates on the Kelp security incident, stating that the Snapshot vote regarding the EarnETH first loss protection mechanism being below the 1% threshold has reached the quorum and been approved. The losses for EarnETH users will be fully covered by the Lido Earn first loss mechanism.

The rsETH held by the attacker has been liquidated, and the related stETH has been transferred to the DeFi United rescue plan. In addition, the EarnETH treasury is expected to reopen shortly after the Kelp protocol resumes operations, at which point users will be able to conduct normal deposit and withdrawal operations. Lido emphasized that during the freeze period, the EarnETH and EarnUSD treasuries continue to generate returns. Currently, EarnETH users only need to wait for the brief unfreezing process to complete, and once the funds are restored, they will be compensated according to the first loss protection mechanism.