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Swell offers swETH for liquid staking and rswETH for liquid restaking. Their protocol exchange rates determine the $ETH value represented by each token, rather than a secondary-market trading price.
The swETH contract now returns about 1.1334 $ETH per token, compared with the inflated 1.20297 $ETH reported in Swell’s postmortem. The rswETH contract returns about 1.0828 $ETH, down from 1.13768 $ETH.
Those rates are roughly 5.8% and 4.8% below the inflated levels, respectively, according to The Defiant’s calculations using Swell’s rounded app rates. Swell says withdrawal requests made during the incident will be paid at the correct rate.
The reset also changes collateral risk. Ahead of the correction, Swell warned borrowers in Morpho’s msETH/rswETH market that the lower rswETH rate would move their loans closer to liquidation. It identified Metronome as the market’s curator and noted that third-party markets set their own pricing and risk parameters.
The protocol had suspended deposits and withdrawals following the repricing-key incident. In its postmortem, Swell said an attacker used a compromised operational key on Oct. 21–22 to submit false balance reports that inflated both rates. Swell said no $ETH backing either token was moved and no withdrawal was paid at the inflated rate.
Compensation for Shortchanged Depositors
Depositors nevertheless received fewer tokens for their $ETH because the conversion rate was too high. Swell said 20 addresses were affected, with a combined shortfall of about 0.25 $ETH, and pledged to make each depositor whole.
The Nov. 1 update puts that compensation within the next week. It did not specify a payout asset or claim procedure.
