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Analysis: Arbitrum freezes KelpDAO hacker ETH for system-level transactions, injected by the security committee through ArbOS
Dragonfly managing partner Haseeb Qureshi released an analysis regarding "Arbitrum Security Council freezes KelpDAO hacker 30,766 ETH," stating that this type of transaction is ArbitrumUnsignedTxType (EIP-2718 type 0x65/101), which is a system-level transaction that cannot be signed by a regular EOA and can only be injected by the Arbitrum Security Council through ArbOS.
This operation did not involve a chain rollback or historical rewrite; functionally, it is a state-level recovery: the attacker's private key can still sign transactions, but the ETH from that address is transferred by the chain itself. This operation also demonstrates the powers of the Security Council in "catastrophic emergencies" as described in Arbitrum's progressive decentralization documentation.
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