Market Updates: Arbitrum Freezes 30,766 ETH Amid KelpDAO Security Breach, MEXC Cuts Exposure on Aave Liquidity Concerns, Lido Weighs $3M Loss Buffer Against $21.6M rsETH Exposure

Arbitrum froze 30,766 ETH on April 21, 2026 after a KelpDAO security breach, creating acute DeFi security and liquidity risk on the layer‑2 network. CEX MEXC cut exposure to Aave citing liquidity concerns, a centralized exchange risk-management move that could pressure Aave liquidity and token markets. Lido is weighing a $3M loss buffer against $21.6M rsETH exposure, signalling concentrated staking exposure and potential solvency/market-impact risks in crypto staking and DeFi.