According to Odaily Planet Daily, Spark's Head of Strategy, monetsupply.eth, stated in an article on the X platform that the situation is entering a more dangerous phase as the stablecoin market begins to lack liquidity. He believes that approximately 16.5% of the ETH market is backed by rsETH. If rsETH-backed loans suffer losses across the mainnet and external chains, they could face a 10% to 15% slashing in emode, leaving 2% to 3% for ETH suppliers to smooth out the umbrella structure. ETH suppliers naturally tend to exit as quickly as possible to avoid this risk, thus locking utilization at 100%. Lending rates are insufficient to incentivize repayment of unrelated LST cycles (wstETH, weETH) to release liquidity. Because ETH cannot be withdrawn, users who borrowed stablecoins like USDT and used ETH as collateral cannot close their positions even when stablecoin lending rates rise, cutting off a typical incentive mechanism for maintaining market health. Two unhealthy incentives are currently causing market utilization to lock at 100%: 1) ETH holders are unable to close their positions to maintain a healthy LTV, and liquidators are unable to atomically withdraw or sell collateral, potentially leading to bad debts due to a drop in ETHUSD price. 2) Users supplying USDT tend to maximize borrowing of other stablecoins to exit their holdings; this position is currently generating positive returns (temporarily), thus the exit cost is low; if conditions worsen, at least 75% of the position value can be recovered. The bottom line is that these pooled/re-staking lending markets must maintain liquidity at all costs to function properly. The recent weakening of Aave's maximum lending rate by Slope2 is having a negative impact and significantly increases the risk of cascading market failure.

MyToken data monitoring shows that on 【April 19th, 17:22】 (Beijing Time), an address starting with 【0xaa8b】 transferred 【95000000 USDT】 to an address starting with 【0xdac1】, with a total value of approximately 【94.95 million】. Real time monitoring of large transfers：https://www.mytokencap.com/large-transfers/

According to a report by Iran's Tasnim News Agency on the 19th, Iranian Parliament Speaker Qassem Ghalibaf stated that Tehran is actively engaged in diplomatic activities while also preparing for military confrontation. He emphasized that Iran distrusts its adversaries and is prepared for any war. (Xinhua)

MyToken data monitoring shows that on 【April 19th, 17:15】 (Beijing Time), an address starting with 【0x5754】 transferred 【95000000 USDT】 to an address starting with 【0xdac1】, with a total value of approximately 【94.95 million】. Real time monitoring of large transfers：https://www.mytokencap.com/large-transfers/

According to Huoxun Finance, etherFi announced on its X platform that its Liquid vault was not directly exposed to the risks of the Kelp rsETH incident. However, as a precaution, it has suspended the LayerZero cross-chain bridging function between weETH and eETH until the root cause of the Kelp rsETH incident is clarified. Simultaneously, for Liquid (ETH, BTC, USD), sETHFI, and eBTC products, the relevant Teller contracts have been suspended to block the LayerZero OFT bridging path, and deposit and withdrawal functions for related assets have also been suspended. etherFi is currently working closely with its security partners and will provide updates as more details become available.