{"type":"rich","version":"1.0","provider_name":"Transistor","provider_url":"https://transistor.fm","author_name":"Indexed Podcast","title":"Is DeFi dead? The biggest bank run in history","html":"<iframe width=\"100%\" height=\"180\" frameborder=\"no\" scrolling=\"no\" seamless src=\"https://share.transistor.fm/e/ae86103e\"></iframe>","width":"100%","height":180,"duration":3424,"description":"In today’s episode, we’re breaking down the Kelp DAO exploit and the cascading fallout across DeFi. We unpack how a LayerZero configuration was abused to mint unbacked rsETH, how the attacker used Aave to extract liquidity, and why this turned into DeFi’s first true “bank run” moment.\nWe discuss:\nKelp DAO rsETH exploit overview\nLayerZero configuration and RPC attack\nMinting 290m unbacked rsETH\nBridged assets and blast radius\nDepositing fake collateral into Aave\nHow looping and leverage amplified risk\nAave’s monolithic pool design flaw\nMorpho’s isolated market comparison\nLiquidation mechanics and bad debt\n$10B Aave outflows and bank run\nTVL quality vs headline TVL\nDeFi reputation and permissioned shift\nAnd more—enjoy\n—\nTimestamps:\n(00:00) Intro\n(02:00) What got exploited\n(05:20) Restaking and looping explained\n(08:15) LayerZero config vulnerability\n(10:08) 290m rsETH minted\n(16:10) Depositing into Aave\n(18:45) Morpho vs Aave design\n(24:30) Governance responsibility debate\n(28:40) LayerZero network scale\n(34:55) $10B Aave outflows\n(41:00) DeFi reputation hit\n(52:00) TVL quality discussion\n(56:24) Outro\n—\nNEW: Join the Indexed Pod group chat:\nhttps://t.me/+Jmox7c6mB8AzOWU0\nAnd our new website is live:\nhttps://indexedpod.com\n—\nFollow the co-hosts:\nhttps://x.com/hildobby\nhttps://x.com/0xBoxer\nhttps://x.com/sui414\nFollow the Indexed Podcast:\nhttps://x.com/indexed_pod\n—\nThe Indexed Podcast discusses hot topics, trendy metrics and chart crimes in the crypto industry, with a new episode every 1st and 3rd Thursday of the month, brought to you by wizards @hildobby @0xBoxer @sui414.\nSubscribe/follow the show and leave a comment to help us grow the show!\n—\nDISCLAIMER: All information presented here should not be relied upon as legal, financial, investment, tax or even life advice. The views expressed in the podcast are not representative of hosts' employers views. We are acting independently of our respective professional roles.","thumbnail_url":"https://img.transistorcdn.com/IM1tBn8uHFRf1EX50ZrfGhDlw_1FFNNQLXKzAVO7J9A/rs:fill:0:0:1/w:400/h:400/q:60/mb:500000/aHR0cHM6Ly9pbWct/dXBsb2FkLXByb2R1/Y3Rpb24udHJhbnNp/c3Rvci5mbS8yZWI5/OGU3Y2UyZTBmYmUz/ZDM0MTA1MmNmZWEy/MDFlZi5qcGc.webp","thumbnail_width":300,"thumbnail_height":300}