Kelp DAO alleges the earlier rsETH bridge exploit was a direct result of LayerZero's failures, including not disclosing weaknesses in its technology and a breach of its own security infrastructure that enabled the attack. The firm says LayerZero and co-founder Bryan Pellegrino publicly blamed Kelp DAO for months, despite having reviewed and endorsed its deployment and configuration in writing. Kelp DAO has since migrated the rsETH bridge to a more secure cross-chain standard and says its public complaint aims to correct the record and hold LayerZero accountable for harm to itself and the broader DeFi ecosystem.

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Thread · 2 events · last update 25 Sep 05:21 · quiet
  1. First reportKelpDAO files lawsuit against LayerZero and Bryan Pellegrino over rsETH bridge exploit43 acc.
  2. UpdateEvercrest files a Canadian civil claim against LayerZero and CEO Bryan Pellegrino over the rsETH bridge exploit3 acc.
  3. Leviathan published this article

All times UTC.

Cited posts

  • @KelpDAO KelpFirst reportOn X ↗

    https://t.co/D17UbUbixh

  • @KMagcap Kenny BOn X ↗

    Holyyyy https://t.co/9xv04pkCLV

  • @MartiniGuyYT That Martini Guy ₿On X ↗

    KelpDAO is suing LayerZero and CEO Bryan Pellegrino over the $292M rsETH bridge exploit. KelpDAO claims LayerZero had reviewed and endorsed its bridge setup before the attack and failed to disclose security risks. Pellegrino has called the lawsuit "meritless." The exploit…

Show 3 more cited posts
  • @CryptoPatel Crypto PatelOn X ↗

    KELPDAO SUES LAYERZERO: $292M rsETH HACK HEADS TO COURT The biggest DeFi exploit of 2026 is now the biggest DeFi lawsuit of 2026. WHAT HAPPENED: On September 24, 2026, KelpDAO filed a civil claim in British Columbia, Canada, against LayerZero Labs and its CEO Bryan Pellegrino,…

  • @TheBlockCo The BlockOn X ↗

    THE BLOCK: KelpDAO filed a lawsuit against LayerZero and its co-founder Bryan Pellegrino over the $292 million rsETH exploit. KelpDAO alleges LayerZero failed to disclose technology risks and prevent an infiltration of its security infrastructure. Pellegrino called the claims…

  • @g13m Captain GMOn X ↗

    KelpDAO took LayerZero to court. Evercrest Technologies, the company behind Kelp, filed a civil claim in the Supreme Court of British Columbia against LayerZero Labs its Canadian arm, and co-founder Bryan Pellegrino. The case is about the April 18 exploit that minted 116,500…

40 more accounts posted about this · 3 Telegram channels (no public link)

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Positioning · ZRO

Open36 open positions · 33 long · 3 short

Tracked accounts lean long about 97% of the time, so a long-heavy book is normal, not a signal. As of 25 Sep 10:17 UTC.

Reaction since the first post

Since 25 Sep 03:56 UTC1 calls opened · 1 long · 0 short

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Crowding56th percentile · vs last 28 days, 50 typical
Pulse 24h50/100 · unusualness of new calls, 0–100, 50 typical, higher means more long than usual
Book97.3% long · 11,990 accounts

As of 25 Sep 10:00 UTC.

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