Kraken stated it should substitute LayerZero, a protocol for transferring crypto belongings throughout blockchains, with Chainlink’s equal after the $292 million bridge exploit that hit liquid restaking protocol Kelp final month uncovered dangers in legacy cross-chain infrastructure.
Chainlink’s Cross-Chain Interoperability Protocol (CCIP) will grow to be the unique cross-chain service for Kraken’s wrapped crypto belongings together with kBTC, its wrapped bitcoin, the crypto trade stated in a press release.
The transfer follows related migrations by platforms together with Kelp, Solv and Re. Kelp misplaced 116,500 rsETH (restaked ether) from a LayerZero-powered bridge in 2026’s largest exploit in April. LayerZero later stated it “made a mistake” by permitting its personal verifier community to safe high-value belongings within the configuration used. In complete, an estimated $3 billion in complete worth locked has since migrated.
Kraken’s migration covers numerous blockchains together with Ink, Ethereum, Unichain and Optimism, with others to observe. Kraken launched kBTC in 2024 as a 1:1 bitcoin-backed token accessible first on Ethereum and OP Mainnet. The token now has a $260 million market capitalization, CoinGecko knowledge exhibits.
CCIP will deal with the motion of Kraken’s wrapped belongings beneath the Cross-Chain Token customary. Kraken will proceed to subject and custody the belongings, the companies stated.
Rival crypto trade Coinbase (COIN) additionally chosen Chainlink CCIP final yr as the only real bridge for about $7 billion in wrapped tokens.
Kraken’s dad or mum firm, Payward, utilized this month for a federal belief constitution in a bid to grow to be a federal crypto financial institution.
Learn extra: Kraken dad or mum Payward seeks recent funding at $20 billion valuation forward of deliberate IPO
