KelpDAO has sued cross-chain interoperability protocol LayerZero and co-founder Brian Pellegrino, alleging that weaknesses in LayerZero’s protocol were not disclosed and contributed to a $292 million hack, CoinDesk reported. The incident is described as the largest exploit seen in 2026 so far. The allegations place LayerZero’s protocol and its associated ZRO token under scrutiny as the dispute centers on whether vulnerabilities were known and whether adequate disclosure was provided. The source material does not include details on the court, filing date, specific technical weaknesses, or a response from LayerZero or Pellegrino. KelpDAO is a cross-chain lending protocol. Market participants tracking ZRO may focus on further statements from the parties and additional information about the lawsuit and the exploit. The claim remains an allegation, and no court finding is stated in the supplied information.
