KelpDAO sues LayerZero for the largest exploit 2026 has seen so far
The cross-chain lending protocol accused LayerZero and its co-founder Brian Pellegrino of failing to disclose weaknesses in their protocol, which led to the $292 million hack.
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Summary
- KelpDAO sued LayerZero and its co-founder, Bryan Pellegrino, alleging that undisclosed weaknesses in the cross-chain protocol enabled a $292 million exploit.
- Pellegrino called the lawsuit meritless and said he would defend himself and LayerZero in a British Columbia court.
- The April 22 attack drained 116,500 rsETH and contributed to a broader liquidity crisis that erased $20 billion in decentralized finance deposits.
