KelpDAO Sues LayerZero Over RsETH Bridge Exploit

KelpDAO has filed a civil claim against LayerZero Labs in British Columbia. The case was listed on September 24 at Vancouver Law Courts, under file number 267169.

The notice of civil claim also names Bryan Pellegrino, the CEO of LayerZero Labs, according to Pellegrino himself.

Pellegrino dismissed the claim as 'meritless,' stating that he will defend himself in court.

This dispute stems from a previous clash over responsibility for an rsETH bridge exploit on April 18. Chainalysis estimated that attackers stole around $292 million worth of rsETH, feeding false blockchain data to LayerZero's verifier to release tokens without a corresponding burn on the source chain.