Kelp DAO has announced it will replace LayerZero with Chainlink’s Cross-Chain Interoperability Protocol (CCIP) as the backbone for bridging its rsETH liquid restaking token. The change, disclosed on May 5, reflects ongoing efforts to fortify operations after a major April security incident that exposed vulnerabilities in cross-chain messaging systems.
The protocol’s rsETH has been available across more than 20 blockchains thanks to LayerZero’s Omnichain Fungible Token (OFT) standard.
However, on April 18, attackers forged a cross-chain message through the bridge adapter, draining approximately 116,500 rsETH—valued at roughly $292 million at the time.
The exploit triggered ripple effects across DeFi lending platforms, freezing additional funds and prompting coordinated recovery initiatives like DeFi United.
Kelp DAO has consistently maintained that the root cause lay in LayerZero’s underlying infrastructure, not internal protocol errors.
Supporting analyses from independent firms including SEAL 911 and Chainalysis reportedly traced the breach directly to LayerZero’s systems, resulting in broader ecosystem losses exceeding $300 million.
Kelp’s leadership described the switch as a decisive step to eliminate lingering uncertainties.
Chainlink CCIP operates on a fundamentally different model: every transaction requires consensus from 16 independent node operators rather than a single verifier.
After the recent LayerZero exploit, we are taking steps to ensure rsETH is fully secure, which is why we are migrating to @chainlink CCIP.
From the April 18 incident, it is clear that LayerZero's own infrastructure was exploited, resulting in $300M in losses across DeFi.… https://t.co/beIrfZZLlh
— Kelp (@KelpDAO) May 5, 2026
This multi-party validation, combined with separate risk-management networks and distinct codebases for core components, is designed to prevent the kind of single-point compromise that enabled the April attack.
In addition, rsETH will adopt Chainlink’s Cross-Chain Token (CCT) standard, which promises more seamless and secure interoperability across chains.
Technical preparations for the migration are already visible in Kelp’s public repositories, where new CCIP-compatible contracts now appear alongside the legacy LayerZero setup.
The team stressed that the move prioritizes user protection and ecosystem trust, stating that the incident highlighted architectural risks that demanded a more robust solution.
By choosing Chainlink, Kelp becomes one of the first significant protocols to exit LayerZero’s network following the exploit, potentially signaling a broader reevaluation of bridging providers industry-wide.
The decision carries wider implications for DeFi.
Cross-chain activity continues to expand rapidly, but high-profile incidents have underscored the need for infrastructure that balances speed, cost, and verifiable security.
Chainlink’s established track record with decentralized oracles and its emphasis on modular risk controls position CCIP as a leading alternative for protocols handling substantial value.
For rsETH holders, the upgrade is expected to restore confidence and reduce exposure to similar bridge-related threats.
Kelp DAO’s transition illustrates a maturing approach in blockchain infrastructure: protocols are increasingly willing to adapt swiftly when security gaps emerge.
As the sector grapples with the complexities of true interoperability, moves like this could accelerate the adoption of battle-tested standards that prioritize decentralization and resilience over convenience alone. This shift not only safeguards Kelp’s ecosystem but also contributes to higher overall standards for cross-chain DeFi applications.