KelpDAO Attacker Converts $175M ETH to BTC via THORChain, Fuels $195M Aave Bad Debt

KelpDAO exploiter converted 75,700 ETH ($175M) to Bitcoin through THORChain, driving $800M laundering volume and $910k fees while creating $195M bad debt on Aave. The April 21 bridge hack first raised TradFi adoption fears per Jefferies, then triggered $211M spot BTC buys on April 22 that spiked prices from $75,000 past $78,000 before pullback. DeFi contagion hit hard: Ethereum TVL fell 17.73%, Solana 6.14%, with 442 BTC spread across 400 addresses and Arbitrum freezing 30,766 ETH.