#KelpDAO Sues LayerZero
The loss from the rsETH vulnerability in April was about $292 million. KelpDAO has now filed a lawsuit against LayerZero and co-founder Bryan Pellegrino in British Columbia, alleging that they failed to disclose technical risks and did not prevent attackers from using the infrastructure that validators rely on. Pellegrino says these allegations are baseless and that he will defend himself and LayerZero in Vancouver. The court has not yet ruled on these claims.
The real variable in cross-chain bridges is not who pays, but whether the responsibility boundary for validator configuration will be written into precedent: whether a 1-of-1 DVN is an integrated party’s choice, or the default value that the underlying protocol should block in the first place—both sides argue differently. Once precedent is set, the deployment terms and disclosure obligations for similar bridges will have to change accordingly.
The focus is on procedure rather than emotion: before the briefing period ends, this track won’t see any substantive progress.
$XPL $NEAR $FET
The loss from the rsETH vulnerability in April was about $292 million. KelpDAO has now filed a lawsuit against LayerZero and co-founder Bryan Pellegrino in British Columbia, alleging that they failed to disclose technical risks and did not prevent attackers from using the infrastructure that validators rely on. Pellegrino says these allegations are baseless and that he will defend himself and LayerZero in Vancouver. The court has not yet ruled on these claims.
The real variable in cross-chain bridges is not who pays, but whether the responsibility boundary for validator configuration will be written into precedent: whether a 1-of-1 DVN is an integrated party’s choice, or the default value that the underlying protocol should block in the first place—both sides argue differently. Once precedent is set, the deployment terms and disclosure obligations for similar bridges will have to change accordingly.
The focus is on procedure rather than emotion: before the briefing period ends, this track won’t see any substantive progress.
$XPL $NEAR $FET
