Approve Release of Frozen ETH

Authors: Aave Labs, KelpDAO, LayerZero, EtherFi, Compound Proposal Type: Constitutional AIP Date: April 25, 2026

Abstract Aave service providers are working with the KelpDAO team, LayerZero team, EtherFi, Compound, and other ecosystem parties on a recovery effort, with the goal of making affected rsETH holders whole. This proposal asks Arbitrum Governance to approve the release of the 30,765.67 ETH immobilized by the Arbitrum Security Council into that coordinated remediation effort. Those funds are intended to be applied toward making affected rsETH holders whole, with the goal of restoring rsETH’s backing.

This is proposed as a one-time measure given that the funds are already immobilized, the release destination is the sole remaining governance question, and releasing them to the ongo