KelpDAO Sues LayerZero and Co-Founder Over rsETH Bridge Exploit

KelpDAO has initiated legal action against LayerZero and its co-founder Bryan Pellegrino regarding an exploit of the rsETH cross-chain bridge that occurred earlier this year. The lawsuit alleges that LayerZero was negligent by failing to disclose inherent technical vulnerabilities and failing to secure its infrastructure, which allowed attackers to exploit the bridge. KelpDAO claims that LayerZero had previously reviewed and approved the technical deployment, despite later shifting blame. KelpDAO has since migrated its bridge to a more secure standard to protect user assets.