Kelp DAO to Halt rsETH Bridging on 20 Networks After June 15

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Kelp DAO to Halt rsETH Bridging on 20 Networks After June 15

Kelp DAO, the liquid restaking protocol previously impacted by a $292 million security breach, has announced it will discontinue rsETH bridging support across 20 cross-chain networks effective June 15. The decision, shared via the project’s official X account, requires users holding rsETH on affected chains to transfer their assets to the Ethereum mainnet before the deadline to avoid additional fees.

Networks Affected and User Impact

The bridging discontinuation will impact a broad range of networks including OP, MANTA, Mode, SCR, X Layer, ZK, ZRC, SWELL, HEMI, BERA, S, HyperEVM, Unichain, TAC, AVAX, XPL, STABLE, MEGA, MON, and MOVE. Users who do not complete the bridge transfer before June 15 will face a fee of 100 USDC per address for any bridging requests made after the cutoff date.

Kelp DAO has not specified a reason for the abrupt cessation of multi-chain support, but the move follows a significant security incident earlier this year when the protocol suffered a $292 million exploit. The hack, which targeted vulnerabilities in the protocol’s smart contracts, raised concerns about cross-chain security and liquidity management across the DeFi ecosystem.

Background: The $292 Million Hack

In early 2025, Kelp DAO was compromised in one of the largest DeFi exploits of the year, resulting in the loss of approximately $292 million in user funds. The attack exploited weaknesses in the protocol’s cross-chain messaging and bridge infrastructure, leading to a temporary suspension of operations. While the team has since implemented security upgrades and partially restored services, the decision to wind down rsETH bridging on multiple networks suggests a strategic pivot toward a more centralized or Ethereum-focused operational model.

Industry analysts note that the move may be part of a broader effort to reduce attack surface and simplify the protocol’s risk profile. By consolidating rsETH liquidity on Ethereum mainnet, Kelp DAO can more effectively monitor and secure user assets, though it comes at the cost of interoperability with other ecosystems.

What Users Need to Do

Kelp DAO has urged all holders of rsETH on the listed networks to initiate bridging to Ethereum mainnet as soon as possible. The process is expected to function normally until June 15, after which the 100 USDC fee will apply. Users are advised to verify the current bridge status on the official Kelp DAO interface and to avoid using third-party bridge services that may not be supported after the deadline.

The protocol has not announced any plans to reintroduce rsETH bridging on other networks in the future, leaving the long-term roadmap for cross-chain functionality uncertain.

Conclusion

Kelp DAO’s decision to end rsETH bridging on 20 networks marks a significant operational shift for the protocol, likely driven by security considerations following the $292 million exploit. Users must act before June 15 to avoid additional costs, while the broader DeFi community watches how the protocol evolves its security posture and cross-chain strategy moving forward.

FAQs

Q1: When does Kelp DAO stop supporting rsETH bridging?
Kelp DAO will discontinue rsETH bridging on 20 cross-chain networks from June 15.

Q2: What happens if I don’t bridge my rsETH before June 15?
After June 15, a fee of 100 USDC per address will be charged for any bridging requests.

Q3: Which networks are affected by this change?
The affected networks include OP, MANTA, Mode, SCR, X Layer, ZK, ZRC, SWELL, HEMI, BERA, S, HyperEVM, Unichain, TAC, AVAX, XPL, STABLE, MEGA, MON, and MOVE.

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