KelpDAO is suing LayerZero and CEO Bryan Pellegrino over a $292 million rsETH bridge exploit allegedly caused by undisclosed risks and a flawed 1-of-1 verifier setup that enabled North Korea-linked hackers to drain 116,500 rsETH. LayerZero denies the allegations and says it will defend the case in Vancouver courts, while KelpDAO migrates users to a safer bridge.