Schwartz Defends Arbitrum ETH Freeze Citing Bitcoin's 2010 Bug Rollback

Ripple CTO Emeritus David Schwartz defended Arbitrum Security Council's freeze of 30,766 ETH linked to the KelpDAO exploit, directly comparing it to Bitcoin's 2010 value overflow bug that minted 184 billion BTC before a community-led chain rollback. Schwartz emphasized the Arbitrum action secured funds without altering the broader network state, positioning it as a corrective measure for an illegitimate post-exploit state. The comparison has intensified debates on centralization risks in L2 networks, with critics warning of forced upgrades eroding trust, potentially influencing sentiment toward Arbitrum, ETH, and Bitcoin's decentralization legacy.