KelpDAO Sues LayerZero and Its Co-Founder Over rsETH Cross-Chain Bridge Vulnerability

BlockBeats news, September 25: KelpDAO has announced that Kelp has filed a lawsuit against LayerZero and its co-founder Bryan Pellegrino regarding the LayerZero cross-chain bridge vulnerability incident involving rsETH earlier this year. In its complaint, Kelp alleges that the vulnerability stemmed from technical flaws inherent in LayerZero itself and the compromise of its security infrastructure, including failing to disclose weaknesses and risks in LayerZero's own technology, as well as failing to prevent attackers from breaching its security infrastructure and exploiting the related vulnerabilities.

LayerZero and Bryan Pellegrino have publicly blamed Kelp over the past few months, but Kelp claims that LayerZero had previously reviewed and approved in writing the deployment and configuration of its LayerZero technology. Kelp states that after the vulnerability incident, it has taken measures to safeguard user assets, including migrating the rsETH cross-chain bridge to a more secure cross-chain security standard. The lawsuit aims to hold LayerZero and Bryan Pellegrino accountable for the related losses.