Following an investigation into an infrastructure compromise, MetaMask Staking (ex Consensys Staking) has taken precautionary steps to protect client assets related to its operated Ethereum validators. These steps include exiting its Ethereum (ETH) validators in the Lido protocol, and will likely incur foregone rewards as well as possible downtime penalties should validators be taken offline in the near future to reduce risks related to potential network penalties. Relevant validators have begun the exit process, with the final validators expected to be exited (but not fully withdrawn) by the end of October 7th, 2026. No action is required from stETH holders. ETH exited from MetaMask Staking-operated validators is expected to return to the protocol gradually as the relevant validators complete the exit, withdrawal, and re-entry cycle, which is estimated to take approximately up to 45 days due to the extended entry queue. As a reminder, staking operations are non-custodial in nature and MetaMask does not manage withdrawal keys for staking on behalf of clients. As always, the Lido Protocol’s diverse Node Operator set and other security systems including the ad hoc reserve fund (of over 6,750 stETH), are designed to contain and mitigate disruptions to the normal operations of the protocol, in addition to other potential routes. research.lido.fi/t/security-… A full investigation is underway, and further updates will be shared as they become available. For further details, please refer to the MetaMask Staking release linked below.

A new governance proposal introduces Custodied Collateral Lending, powered by Aave V4. It would allow institutions to borrow stablecoins on Aave against assets held in custody at @Anchorage, synchronized through @chainlink infrastructure.

USDG by @global_dollar nears $100 million deposits on Aave V4.