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#GateSquareMayTradingShare Complete the rsETH Settlement when Effort to Recover Moves to a New Phase
Aave has finalized the liquidation of remaining positions linked to rsETH related to the Kelp DAO exploit, with the associated assets currently expected to be transferred into a separate recovery fund.
This marks an important step in managing the broader repercussions surrounding the rsETH ecosystem issue. Instead of allowing unresolved bad debt to continue exerting pressure on the system, the liquidation process helps restore balance and minimize uncertainty across affected liquidity pools.
From my perspective, the key point is not only the liquidation but also the coordinated response speed across the entire DeFi industry.