Kelp DAO Ditches LayerZero for Chainlink After $292M Exploit

Kelp DAO has announced it is abandoning LayerZero’s cross-chain protocol in favor of Chainlink’s cross-chain infrastructure. The decision follows a $292 million hack affecting LayerZero-related protocols.

Kelp DAO, a liquid staking protocol, relies heavily on cross-chain bridging for user asset security. The migration signals growing emphasis on cross-chain security in the DeFi sector.

Chainlink’s CCIP (Cross-Chain Interoperability Protocol) employs a more conservative security model, including decentralized oracle networks and multi-verification mechanisms. This choice reflects an industry trend of prioritizing security over speed after multiple cross-chain hacking incidents.