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Kraken to replace LayerZero with Chainlink to bridge assets across blockchains
The decision sees a total of over $3 billion in total value locked migrating after a $292 million LayerZero-powered bridge exploit involving Kelp.
May 14, 2026, 3:17 p.m. 2 min read
What to know:
- Kraken is replacing LayerZero with Chainlink CCIP as the exclusive cross-chain infrastructure for kBTC and future wrapped assets.
- This sees a total of over $3 billion in TVL migrating after a $292 million LayerZero-powered bridge exploit involving Kelp.
- Rival crypto exchange Coinbase also selected Chainlink CCIP as the sole bridge for about $7 billion in wrapped tokens last year.
The move follows similar migrations by platforms including Kelp, Solv and Re. Kelp lost 116,500 rsETH (restaked ether) from a LayerZero-powered bridge in 2026’s largest exploit in April. LayerZero later said it “made a mistake” by allowing its own verifier network to secure high-value assets in the configuration used. In total, an estimated $3 billion in total value locked has since migrated.
Kraken’s migration covers various blockchains including Ink, Ethereum, Unichain and Optimism, with others to follow. Kraken introduced kBTC in 2024 as a 1:1 bitcoin-backed token available first on Ethereum and OP Mainnet. The token now has a $260 million market capitalization, CoinGecko data shows.
