Aave Halts rsETH Reserve Actions on Ethereum and Arbitrum to Curb Liquidation Risk

Odaily Planet Daily reported that Aave posted an update on X regarding the rsETH security incident. The protocol said it has paused reserve-related operations for rsETH on Ethereum mainnet and across several L2 and sidechain networks including Arbitrum, Base, Mantle and Linea. The move is intended to stop excessive aETHrsETH withdrawals that could drive user positions closer to the 95% liquidation threshold. Aave said the pause is designed to protect capital and limit systemic risk while recovery efforts continue, and that it will keep the community informed as the situation develops and a resolution plan is finalized.