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Kiln, the staking service provider, announced an orderly shutdown of all Ethereum validator nodes effective September 10, 2025, as a precaution after the SwissBorg incident that saw an estimated $41 million in SOL compromised. The firm framed the move as a risk mitigation step to preserve asset security for stakers while operations are validated.
Kiln expects the decommissioning process to span between 10 and 42 days, with an additional 9 days for withdrawals. The team confirmed that rewards will continue to accrue during the shutdown, no other fund losses have been detected, and certain services are temporarily suspended while infrastructure hardening is implemented.
The SwissBorg CEO stated the event involved an external DeFi wallet used for the SOL Earn strategy and is under active investigation. Kiln emphasized it is closely monitoring the process and will publish a detailed report on findings and remediation steps.
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