Aave Proposes Emergency Motion to Reverse Asset Freeze Notice on Arbitrum DAO

BlockBeats News, May 4th, According to official sources, Aave LLC has filed an emergency motion to overturn the asset freeze notice issued to the Arbitrum DAO on May 1, 2026. The notice attempted to freeze approximately $71 million worth of ETH, which belonged to victims of the April 18th attack.

Aave stated that mere theft does not grant the attacker legal ownership of the stolen assets, a principle clearly established in law. The recovered assets are intended to be returned to users who suffered losses in the April 18, 2026 attack. Freezing these assets directly harms the very users the recovery effort aims to protect.

Aave has requested an emergency hearing from the court to temporarily lift the freeze order and continues to collaborate with the Arbitrum community and DeFi United to compensate affected users.