Kamino Suspends LayerZero Token Operations Amid Ethereum rsETH Concerns

Solana-based liquidity protocol Kamino announced on the X platform that its platform and users remain unaffected by the current Ethereum rsETH incident. According to ChainCatcher, Kamino has temporarily suspended all interactions with core markets related to LayerZero tokens, including USDS, LBTC, and FBTC, as a precautionary measure. The associated reserve assets have been placed in a 'reduce-only' mode, allowing users to withdraw and repay debts, while deposit and lending functions are temporarily closed. Kamino stated that it is maintaining communication with the LayerZero team and will promptly inform users once the reserves return to normal operations. The measures taken are part of proactive risk management, ensuring that the platform and user funds remain secure.