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LayerZero Pins $292M KelpDAO Bridge Hack on North Korea’s Lazarus Group

By Decrypt
Apr 20, 2026
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Kelp DAO Exploit Sparks Aave Liquidity Crunch, $6.2 Billion Withdrawal Panic

The attack carried the markings of “a highly-sophisticated state actor, likely DPRK’s Lazarus Group,” LayerZero said, specifying the group’s TraderTraitor subunit.

LayerZero said that KelpDAO had used a single verifier to approve transfers in and out of the bridge, adding that it had repeatedly urged KelpDAO to use multiple verifiers instead.

Going forward, LayerZero said it will stop approving messages for any application still running that setup.

A single point of failure

Observers say the exploit exposed how the bridge was built to trust a single verifier.

It was “a single point of failure, regardless of what the marketing calls it,” Shalev Keren, co-founder at cryptographic security firm Sodot, told Decrypt.​​​​​​​​​​​​​​​​

A single compromised checkpoint was enough to allow the funds to leave the bridge, and no audit or security review could have fixed that flaw without “removing unilateral trust from the architecture itself,” Keren said.

The attackers came within three minutes of draining another $100 million before a rapid blacklist cut them off, according to an analysis by blockchain security firm Cyvers. The operation was based on tricking a single channel of communication, Cyvers CTO Meir Dolev told Decrypt.

There's More to North Korea's Hacking Ops Than Just Lazarus Group: Paradigm

Attackers tapped two of the lines the verifier used to check whether a withdrawal had actually occurred on Unichain, fed it a fake “yes” on those lines, then knocked the remaining lines offline to force the verifier to rely on the compromised ones.

“The vault was fine. The guard was honest. The door mechanism worked correctly,” Dolev said. “The lie was whispered directly to the one party whose word opened the door.”

But while LayerZero, whose infrastructure powered the drained bridge, pointed to Lazarus as the likely culprit, Cyvers stopped short of the same attribution in its own analysis.

The malicious node software was engineered to erase itself once the attack finished, wiping binaries and logs to obscure the attackers’ trail in real time and in the post-mortem, he added.

North Korean Hackers Spent Six Months Infiltrating Drift Before $285M Exploit

Dolev noted that the Drift hack was “very different in terms of the preparations and execution,” but both attacks required long lead times, deep expertise, and significant resources to pull off.

Disclaimer: The information on this page may have been obtained from third parties and does not necessarily reflect the views or opinions of BitKan. This content is provided for general informational purposes only, without any representation or warranty of any kind, nor shall it be construed as financial or investment advice. BitKan shall not be liable for any errors or omissions, or for any outcomes resulting from the use of this information. Investments in digital assets can be risky. Please carefully evaluate the risks of a product and your risk tolerance based on your own financial circumstances. Products mentioned in this article may not be available in your region.

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