Kelp DAO Switches to Chainlink CCIP After $292M Bridge Exploit

Kelp DAO has replaced LayerZero with Chainlink’s Cross-Chain Interoperability Protocol (CCIP) following a $292 million exploit that targeted its bridge infrastructure. The shift marks a significant change in DeFi security approaches after one of the largest cross-chain incidents in recent months.

Chainlink CCIP Adopted for Cross-Chain Security Upgrade

Under the new setup, Kelp DAO will use Chainlink CCIP, which relies on at least 16 independent node operators to validate cross-chain transactions. This structure is designed to reduce single point failure risks in cross-chain messaging systems.

The protocol also confirmed adoption of Chainlink’s Cross Chain Token (CCT) standard for rsETH, aiming to improve asset integrity across multiple networks.

Exploit Linked to Single-Validator Configuration

The move follows an April attack in which approximately 116,500 rsETH were drained from a LayerZero powered bridge. The exploit has been linked to a single verifier configuration, which critics argue created a structural weakness in the system.

LayerZero has disputed responsibility, stating it advised against such setups, while reports suggest nearly half of deployed applications using its framework relied on similar configurations at the time of the incident.

DeFi Security Response and Recovery Efforts

Following the exploit, industry participants launched recovery initiatives to restore liquidity and backing for affected assets. Chainlink’s infrastructure has now been used to secure trillions in cross-chain transaction value, highlighting increasing demand for more decentralized validation models in DeFi systems.