Kraken Shifts Wrapped Bitcoin to Chainlink Amid LayerZero Exodus
- Kraken will migrate its wrapped Bitcoin product, kBTC, from LayerZero to Chainlink‘s interoperability protocol.
- kBTC maintains a market cap of more than $266 million and is backed by Bitcoin held in custody by Kraken.
- LayerZero admitted a mistake in Kelp DAO‘s setup, leading to a $292 million exploit attributed to the Lazarus Group.
- Other firms like Solv Protocol and Re have also announced plans to switch from LayerZero to Chainlink’s technology following the exploit.
Kraken’s decision to migrate kBTC to Chainlink comes after the significant security breach involving LayerZero’s technology, which affected Kelp DAO and was linked to the North Korean hacker group Lazarus. This move aligns with other firms’ decisions seeking more secure infrastructure for cross-chain interoperability.
The shift highlights a growing trend among crypto firms prioritizing security and risk management in their operations, as seen with Kraken’s choice of Chainlink CCIP for its enterprise-grade infrastructure. (Source)
