KelpDAO Sues LayerZero Over $292M rsETH Bridge Exploit
Evercrest Technologies, the company behind KelpDAO, has filed a civil lawsuit in the Supreme Court of British Columbia against LayerZero Labs Ltd., LayerZero Labs Canada Inc., and co-founder Bryan Pellegrino over the April bridge exploit that hit KelpDAO’s restaking system. The attack moved 116,500 rsETH through a bridge linked to Unichain, with the assets worth about $292 million at the time. The suit alleges negligence, negligent misrepresentation, and defamation. A central claim is that LayerZero allegedly reviewed and approved a bridge setup using a single DVN, creating a dangerous single point of failure, and later blamed KelpDAO for that configuration. LayerZero has not been found liable, and the complaint has not been tested in court. The case could help define legal responsibility for security advice in cross-chain infrastructure.
