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>>Ripple's CTO cautions that cross‑chain bridges could suffer exploits similar to those seen with KelpDAO.

Ripple's CTO cautions that cross‑chain bridges could suffer exploits similar to those seen with KelpDAO.

crypthub

about 3 hours ago

Ripple CTO’s Warning

David Schwartz, Ripple’s CTO, warned that cross‑chain bridges share the same structural flaws that enabled the KelpDAO hack, one of 2026’s biggest crypto breaches. He reviewed numerous DeFi infrastructures focusing on security and risk. His alert follows the recent theft of about $292 million from KelpDAO’s rsETH bridge.

Security vs. Convenience

Schwartz found most DeFi platforms have top‑tier security tools, but they treat critical safeguards as optional to avoid operational complexity. Teams prioritize rapid cross‑chain expansion and ease of integration over strict security practices. This “growth‑first, safety‑second” mindset mirrors the choices that left KelpDAO vulnerable.

Details of the KelpDAO Exploit

The attack, linked to the North Korea‑affiliated Lazarus Group, stole 116,500 rsETH by compromising the LayerZero bridge’s RPC verification. The thieves laundered the assets through Tornado Cash and borrowed large sums on Aave V3, creating over $236 million in liabilities. Early alerts from analysts and firms like Cyvers and PeckShield confirmed the breach.

Industry Response

Some protocols are tightening defenses; for example, Flare halted FXRP bridging. Critics warn that wrapped assets such as wXRP on Solana carry similar counter‑party risks. Ripple asserts its upcoming RLUSD stablecoin will adopt a security‑first bridging approach, contrasting with the lax practices observed elsewhere.