Compound Joins Defi United, Proposes 3,000 ETH to Recover 16,776 ETH in Exploiter Positions

Compound has proposed contributing 1,900–3,000 ETH (up to ~$6.9M) to Defi United’s rsETH recovery effort, pending a governance vote and conditional on successful recovery of exploiter positions. The move joins a 14-protocol coalition that has pledged over $161 million in ETH commitments to restore rsETH backing after an April 18 exploit — including Consensys/Joe Lubin (30,000 ETH), Aave (25,000 ETH plus a 5,000 ETH personal pledge), Mantle (30,000 ETH credit facility) and Lido (up to 2,500 stETH). The coordinated fund commitments and explicit guardrails aim to stabilize counterparty risk in DeFi, limit contagion from the exploit, and should be supportive for Ethereum market confidence if governance approvals and recoveries proceed as planned.