Kelp DAO blames LayerZero for approving risky bridge setup before $292M hack.

Kelp DAO accused LayerZero of approving a risky single-verifier bridge configuration that led to a $292 million rsETH hack. The exploit drained 116,500 rsETH due to a 1-of-1 DVN setup with LayerZero Labs as the sole verifier. Kelp claims LayerZero reviewed and accepted this setup for over two years without warning, contradicting LayerZero's claim that Kelp ignored security recommendations. Following the hack, Kelp plans to move its rsETH infrastructure to Chainlink’s Cross-Chain Interoperability Protocol, while LayerZero suspects North Korea’s Lazarus Group behind the attack. This incident has raised concerns about the security and decentralization of cross-chain bridges in crypto.