Arbitrum delegates voted to release $71 million in frozen ETH
Arbitrum delegates have approved the release of $71 million in ether frozen after the Lazarus-linked rsETH exploit. The frozen ether is part of a larger $230 million in ETH borrowed from the protocol.
The release is earmarked for an industry-led effort to compensate affected users. However, the frozen ether is also the subject of a Manhattan federal court fight, with lawyers seeking to seize the assets as North Korean property.
The transfer cannot occur for at least eight days due to Arbitrum’s governance rules, allowing the court to potentially intervene. The proposal includes indemnification protections due to the unusual legal risks surrounding the vote.