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

May 4 — Official sources confirm Aave LLC has filed an emergency motion to overturn an asset freeze notice issued to the Arbitrum DAO on May 1, 2026. The notice sought to freeze roughly $71 million in ETH tied to victims of the April 18, 2026 attack. Aave noted that mere theft does not convey legal ownership of stolen assets — a well-established legal principle. The recovered funds are earmarked for return to users who incurred losses in the April 18 attack; freezing these assets directly harms the very users the recovery effort is intended to protect. Aave has requested the court schedule an emergency hearing to temporarily lift the freeze order and continues collaborating with the Arbitrum community and DeFi United to compensate affected users.