Lombard Finance Switches from LayerZero to Chainlink CCIP After Kelp Exploit
Bitcoin DeFi firm Lombard Finance is replacing LayerZero technology with Chainlink's Cross-Chain Interoperability Protocol (CCIP) following an internal review triggered by the $292 million Kelp DAO exploit in April 2026. The decision affects over $1 billion in Bitcoin-backed assets across Solana, Ethereum, and Berachain. Lombard cited enhanced security, including a Security Consortium for additional transaction attestation, and adoption of Chainlink's Cross-Chain Token (CCT) standard for native cross-chain minting. The firm also discontinued LayerZero on Ethereum L2 Morph and staking protocol Swell. This migration follows similar moves by Kraken, Solv Protocol, and others after LayerZero acknowledged misconfigurations enabled the Kelp exploit, attributed to North Korean hackers poisoning internal RPCs.
Key facts
- Lombard Finance migrates over $1B in Bitcoin-backed assets from LayerZero to Chainlink CCIP.
- Decision follows $292M Kelp DAO exploit linked to LayerZero misconfigurations.
- Lombard adopts Chainlink's Security Consortium for additional attestation layers.
- Firm also implements Chainlink's CCT standard for cross-chain token minting.
- Kraken, Solv Protocol, and others have similarly migrated to Chainlink.