ether.fi responds to supporting Kelp compensation fund with 5,000 ETH: Concerns over DeFi systemic collapse triggered by hacker incident

Odaily Planet Daily reported that ether.fi CEO Mike Silagadze responded on the X platform, explaining the commitment to contribute 5,000 ETH to the Kelp hack recovery fund. He stated that the team believes the incident poses a real risk of "destroying the entire DeFi ecosystem." If Kelp were to go bankrupt, rsETH worth $1.5 billion could be frozen for an extended period, potentially paralyzing the Aave lending market, which has a scale of $30 billion, and triggering a cascading collapse of DeFi and CeFi. He added that this would make "FTX look insignificant in comparison." Mike Silagadze further noted that while most institutions chose to step back and leave matters to lawyers, taking the initiative to assume responsibility and quickly raise funds to plug the gap was the right choice to help avoid the worst-case scenario.