Kelp DAO Shifts to Chainlink Following Bridge Attack

Kelp DAO has decided to transition from LayerZero to Chainlink's cross-chain infrastructure after experiencing a bridge attack last month that resulted in losses of approximately $292 million. According to ChainCatcher, Kelp DAO will utilize Chainlink's Cross-Chain Interoperability Protocol (CCIP), which requires verification of cross-chain transactions by 16 independent node operators. This move marks Kelp DAO as the first major protocol to leave LayerZero following the attack. During the incident, the OFT bridge driven by LayerZero used a 1-of-1 single validator configuration, which was employed by 47% of LayerZero applications at the time. LayerZero has since announced the discontinuation of the single-signature validator configuration. Kelp DAO stated that migrating to Chainlink CCIP directly addresses the architectural vulnerabilities exposed during the attack. Additionally, rsETH will adopt the cross-chain token standard. As part of the DeFi United rescue initiative, LayerZero has donated and loaned approximately 10,000 ETH to Aave.