New York court orders Arbitrum DAO to freeze $71 million worth of ETH, or use it to compensate victims of North Korea-related cases

ChainCatcher message: MegaETH director PaperImperium disclosed on the X platform that federal court documents from the Southern District of New York show that a U.S. court has issued an injunction against Arbitrum DAO, requiring it not to transfer about $71.0 million worth of ETH assets previously frozen in the KelpDAO hack incident.

The plaintiff is trying to use this fund to cover unpaid judgment compensation related to cases involving North Korea over the years, including terrorism and kidnapping, and has applied to serve Arbitrum DAO with legal notices via alternative service methods, viewing it as a “partnership organization” that can be held liable. The court documents also note that Arbitrum DAO has a Security Council governed by ARB holders, which has the ability to take action in emergency situations; therefore, if relevant members refuse to cooperate, they may face legal liabilities such as contempt of court. The market believes this case could become an important precedent in the U.S. judicial system that directly constrains DAO governance structures, further highlighting the compliance pressure DeFi protocols face within real-world legal frameworks.