Evercrest sues LayerZero over the rsETH exploit and cites Kelp withdrawals.

What happened.

Evercrest Technologies, the company behind KelpDAO, has sued LayerZero Labs, its Canadian affiliate, and CEO Bryan Pellegrino in British Columbia over April’s $292 million rsETH exploit. The suit alleges negligent misrepresentation, negligence, and defamation, and seeks aggravated and punitive damages. These are allegations in a claim, not findings by a court.

Why it matters.

The suit puts responsibility for the exploit and its aftermath at issue. Evercrest’s claim says Kelp users have withdrawn more than $650 million since the attack. That figure describes what the claimant alleges; the supplied record does not independently establish the withdrawals or attribute each one to the exploit.

The [CryptoSlate report](https://cryptoslate.com/nearly-15-billion-is-moving-off-layerzero-now-a-292-million-lawsuit-puts-its-security-model-on-trial) also headlines nearly $15 billion moving off LayerZero. The supplied account gives no supporting detail for that larger figure, so it should be read as a headline claim rather than a verified measure here.

What to watch.

The next useful receipts are the court filing, any response from the defendants, and underlying data for the withdrawal figures. The supplied item cuts off as it turns to Pellegrino’s response, leaving his position unavailable in this record.