Why did Kraken switch from LayerZero to Chainlink CCIP?

Kraken said it migrated to Chainlink’s Cross-Chain Interoperability Protocol because of its stronger security and risk management features. The exchange cited enterprise-grade infrastructure, multiple independent nodes and built-in rate limits.

What is Chainlink CCIP?

Chainlink CCIP is a cross-chain interoperability system that allows assets and data to move securely between different blockchains. It is increasingly being adopted by crypto protocols looking for safer alternatives to traditional bridge infrastructure.

Why is LayerZero under pressure right now?

LayerZero faced scrutiny after the April exploit involving Kelp DAO, where roughly $292 million in liquid restaking assets were stolen. The attack was linked to North Korea’s Lazarus Group.

Did the LayerZero exploit directly affect Kraken?

No, Kraken was not directly hacked. However, the exchange appears to have reassessed the security risks tied to LayerZero’s infrastructure after the Kelp DAO incident.

What happened during the Kelp DAO exploit?

LayerZero said its internal remote procedure call systems were compromised while external providers faced denial-of-service attacks. The protocol also argued Kelp DAO’s single-Decentralized Verifier Network setup contributed to the exploit.

Which other crypto protocols moved away from LayerZero?

Protocols including Kelp DAO, Solv Protocol and Re also migrated to Chainlink CCIP after the exploit. Reports suggest more than $3 billion in total value locked has shifted to CCIP.

Why are cross-chain bridges such a major crypto security risk?

Cross-chain infrastructure often handles large pools of locked assets and complex blockchain interactions, making it a common target for hackers. Bridge exploits have historically been among the largest losses in crypto.

How did the market react to the migration?

LayerZero’s ZRO token reportedly fell more than 30% after the exploit and remains sharply below its highs. Meanwhile, Chainlink’s LINK token saw little immediate price movement despite increased protocol adoption.

Kraken shifts cross-chain services to Chainlink

Written by Jon CuthbertPublished May. 15 2026Last Updated May. 15 2026

Kraken said it has switched its cross-chain infrastructure provider from LayerZero to Chainlink’s Cross-Chain Interoperability Protocol to secure Kraken Wrapped Bitcoin and future wrapped token products.

Kraken said it selected Chainlink CCIP because it offers “enterprise-grade infrastructure with strict security and risk management requirements,” including multiple independent nodes and native rate-limiting protections.

The migration comes after LayerZero faced increased scrutiny following the April exploit targeting Kelp DAO, where approximately $292 million in liquid restaking tokens were stolen in an attack linked to North Korea’s Lazarus Group.

LayerZero later apologised for its handling of the incident and disclosed that its internal remote procedure call infrastructure had been compromised while external providers simultaneously faced denial-of-service attacks.

The protocol argued that Kelp DAO’s single-Decentralized Verifier Network configuration contributed directly to the exploit, while maintaining that no other applications using LayerZero had been affected.

Other protocols including Kelp DAO, Solv Protocol and Re have also announced migrations from LayerZero to Chainlink CCIP following the attack.

Market data showed LayerZero’s native ZRO token has fallen more than 30% since the exploit and remains over 80% below its 2024 peak, while Chainlink’s LINK token showed little immediate price reaction despite increased adoption of its interoperability infrastructure.

At the time of reporting, Chainlink price was $10.30.