A major over-the-counter crypto whale has moved quickly to reduce on-chain exposure after the KelpDAO rsETH bridge exploit. According to the report, the investor withdrew 98,032 wstETH worth about $272 million and 3,000 cbBTC worth roughly $221.6 million from Aave, bringing the total withdrawal to approximately $493.6 million.
The whale was already known for large purchases in the market, including 163,405 ETH valued at around $440 million and 4,000 cbBTC worth about $296 million. The latest withdrawal suggests a defensive response to protocol risk rather than a routine portfolio rebalance.
Exploit Disrupted Direct ETH Exit
The report says the KelpDAO rsETH bridge issue prevented the whale from withdrawing ETH directly. As a result, the address had to restructure positions through alternative assets. Specifically, the whale swapped 7,438 aEthWETH, valued at about $16.83 million, into 1,930 stETH and 5,272 ETH.
That workaround came at a cost. The conversion resulted in a loss of 237 ETH, equivalent to roughly $540,000 based on the figures cited in the source. While relatively limited compared with the overall portfolio size, the loss highlights how liquidity exits during protocol stress can become expensive, even for sophisticated large holders.
Whale Still Maintains Some Exposure
Despite pulling nearly half a billion dollars in assets, the whale still holds 10,000 ETH on Aave, worth around $22.8 million. That indicates the investor has not fully exited the platform, but is instead selectively reducing exposure in response to the incident.
The episode underscores a broader reality in DeFi: when bridge infrastructure or restaking-linked systems encounter security problems, even well-capitalized participants may need to unwind through less efficient routes. Large withdrawals like this can also serve as an important signal for market observers tracking confidence, liquidity conditions, and risk sentiment across lending protocols.