The gods reconvene. Fasolt and Fafner return with Freia. Fasolt, reluctant to release her, insists that the gold be piled high enough to hide her from view. Wotan is forced to relinquish the Tarnhelm, to help cover Freia completely. However, Fasolt spots a remaining crack in the gold, through which one of Freia's eyes can be seen. Loge says that there is no more gold, but Fafner, who has noticed the ring on Wotan's finger, demands that Wotan add it to the pile, to block the crack. Loge protests that the ring belongs to the Rheinmaidens, and Wotan angrily declares that he intends to keep it for his own. As the giants seize Freia and start to leave, Erda, the earth goddess, appears and warns Wotan of impending doom, urging him to give up the cursed ring. Troubled, Wotan calls the giants back and surrenders the ring. The giants release Freia and begin dividing the treasure, but they quarrel over the ring itself. Fafner clubs Fasolt to death. Wotan, horrified, realizes that Alberich's curse has terrible power.