Statement on our lawsuit against LayerZero
Today we filed a lawsuit against LayerZero and its co-founder, Bryan Pellegrino, to right the wrongs associated with the exploit of rsETH’s LayerZero bridge earlier this year.
As alleged in our lawsuit, the exploit was a direct result of LayerZero’s failures - including a failure to disclose weaknesses and risks inherent in LayerZero’s own technology, and a failure to prevent an infiltration of LayerZero’s own security infrastructure, which allowed attackers to exploit those weaknesses.
Rather than take responsibility, over the last few months, LayerZero and Mr. Pellegrino publicly blamed us for their failures. But the record is straightforward: LayerZero reviewed and endorsed—in writing—our deployment and configuration of LayerZero’s technology.
Since the exploit, we have taken action to ensure our users’ assets are secure, including by undertaking the migration of rsETH’s bridge to a more secure cross-chain security standard. Our number one priority has always been and will remain the security of our users’ assets.
But we also need to correct the record, and hold LayerZero and Mr. Pellegrino accountable for the harm they have caused us and the broader DeFi ecosystem. Our publicly-filed complaint lays out the record, and you can read it here. We look forward to having our day in court.