Wyoming Drops LayerZero Over Security Concerns
The Wyoming Stable Token Commission has ended its partnership with LayerZero Labs, a company that provides cross-chain infrastructure for government-backed digital assets. The decision follows a security review by the Commission's Chief Information Security Officer, which found repeated operational failures at LayerZero Labs.
The review evaluated six dimensions of LayerZero's performance and identified concerns around access controls, private key management, and incident disclosures. The Commission also criticized LayerZero's model of leaving security configuration to individual developers, which could leave a deployment dependent on a single verifier or a small set of verifiers.
Chainlink CCIP, another cross-chain infrastructure provider, was found to meet the Wyoming Stable Token Commission's institutional security requirements. Chainlink's decentralized network, rate limits, external audits, and direct issuer control over token contracts were cited as key factors in its success.