Dune Analytics published an open analysis on Monday examining Decentralized Validator Network (DVN) security configurations across ~2,665 active OApp contracts on LayerZero over the past 90 days. The research found that 47% of OApps operate with a 1-of-1 DVN security floor—the most minimal configuration requiring only a single validator—while 45% use 2-of-2 configurations and approximately 5% employ 3-of-3 or higher. KelpDAO’s rsETH token, which was targeted in a recent exploit, fell into the 1-of-1 bracket.

The analysis provides open-source methodology and queryable data, inviting community feedback on DVN security standards across the LayerZero ecosystem. The findings highlight structural vulnerabilities in cross-chain bridge security, as single-validator configurations create single points of failure for protocol assets and user funds routed through LayerZero’s omnichain infrastructure.

Sources: Dune Analytics

This article was generated automatically by The Defiant’s AI news system from publicly available sources.

Kelp DAO says a LayerZero “default” single‑validator setup helped enable a $290m rsETH bridge hack, forcing a messy blame game and a rushed security migration.

Kelp DAO has pushed back against LayerZero’s official explanation of a $290 million bridge exploit, arguing that the “single‑validator” setup that let an attacker walk off with 116,500 rsETH was not reckless customization but a default configuration in LayerZero’s own guidelines.

The liquidity re‑staking protocol told CoinDesk the 1‑of‑1 Decentralized Verifier Network (DVN) used on its rsETH cross‑chain route “followed LayerZero’s documented defaults” and that the validator stack compromised by the attacker “is part of LayerZero’s own infrastructure,” rather than an unvetted third party.

The attack, which hit on April 18, minted or released 116,500 rsETH to an attacker‑controlled address — about 18% of the token’s supply — and translated into losses of roughly $290–$293 million at the time, making it the largest DeFi exploit of 2026 so far.

In its investigation report and follow‑up statements, LayerZero has insisted that “LayerZero’s protocol was not broken,” arguing instead that Kelp DAO “deployed a single‑point‑of‑failure DVN in production” for a token with more than $1 billion in total value locked.

The interoperability firm said “operating a single‑point‑of‑failure configuration meant there was no independent verifier to catch and reject a forged message” and claimed it had previously communicated “best practices around DVN diversification” to Kelp DAO and other partners.

Security researchers and auditors, including SlowMist co‑founder Yu Xian, have confirmed that the rsETH bridge route used a 1/1 DVN — effectively a single signature — rather than a 2/2 or multi‑DVN stack, calling it a “single‑signature single point” vulnerability that may have been aided by social engineering.

A detailed post‑mortem from DeFi tracking site DeFiPrime notes that LayerZero’s OApp model lets applications choose how many DVNs must sign off on a message, with 2‑of‑3 or 3‑of‑5 configurations commonly recommended for high‑value deployments, but says Kelp’s adapter “was configured to accept the attestation of a single verifier” run by LayerZero Labs.

That design meant “one forged signature was enough to make any cross‑chain message look real,” allowing the attacker to feed the bridge a fake instruction that mimicked a valid message from another chain and triggered the release of 116,500 rsETH “out of thin air” to their wallet.

Kelp DAO’s team counters that they implemented LayerZero’s own public code and defaults across multiple networks and that the DVN exploited “was operated by LayerZero itself,” implying that responsibility sits at least partly with the infrastructure provider rather than solely with the application.

LayerZero has now taken the unusual step of promising it “will stop signing messages for any applications using a single‑validator setup” and is forcing a “security migration” that will require all OApps to move to multi‑DVN architectures if they want to keep using the protocol.

The fallout goes well beyond one re‑staking token.

As crypto.news reported in an earlier story on the rsETH exploit and LayerZero’s attribution of the attack to North Korea’s Lazarus Group, the incident has reignited a broader debate over bridge design, default configurations and who ultimately bears responsibility when modular cross‑chain infrastructure goes wrong.

Related crypto.news stories you can link in copy include coverage of the Kelp DAO–LayerZero exploit and Lazarus attribution, analysis of earlier cross‑chain bridge hacks, and reporting on how re‑staking and liquid‑staking protocols concentrate smart‑contract risk across multiple chains.

CoinDesk Indices presents its daily market update, highlighting the performance of leaders and laggards in the CoinDesk 20 Index.

The CoinDesk 20 is currently trading at 2085.29, down 3.6% (-78.65) since 4 p.m. ET on Friday.

None of 20 assets are trading higher.

Leaders: BNB (-2.3%) and BTC (-2.5%).

Laggards: AAVE (-22.9%) and ICP (-7.9%).

The CoinDesk 20 is a broad-based index traded on multiple platforms in several regions globally.

Crypto exchange Coinbase (COIN) is working with Bybit, one of the largest crypto trading platforms, to explore ways to tokenize, custody and distribute assets such as U.S. public and pre-IPO stocks, a person familiar with the plans told CoinDesk.

The talks, which are in progress, do not involve any sort of stake acquisition or similar deal for Bybit to enter the U.S., said the person, who asked to remain anonymous because they are directly involved in the discussions, dismissing a report of an investment publicized last month.

Bybit is, indeed, planning to enter the U.S., just not with Coinbase, said the person, who declined to identify the partner. It will create a new entity said to be spearheaded by former Bybit co-CEO Helen Liu. The local partner will provide licensing and compliance while Bybit provides the tech, product and liquidity, the person said.

Discussions between Bybit and Coinbase are more global in nature, leveraging Bybit’s worldwide reach, particularly in places like Asia, where users may want access to tokenized versions of U.S. stocks. As such, the firms are exploring synergies around custody and distribution of these assets going forward.

The U.S. is home to certain assets that global users want, the person said. Bybit is international, while Coinbase is U.S.-focused. Working together, the two can bring U.S. assets to a wider market, according to the person. Within five years, tokenization will bring any asset to users globally through a single app.

“Even if Coinbase becomes a super app in the U.S., they are still only in the U.S,” the person said.

The two companies’ explorations into tokenized stocks come as other market participants explore similar link-ups. Intercontinental Exchange (ICE), the owner of the New York Stock Exchange, in March announced it was taking a stake in crypto exchange OKX. Just last week, Deutsche Boerse, made a $200 million strategic investment into Kraken.

Bybit and Coinbase both declined to comment.

CORRECT (April 20, 14:03 UTC): Corrects spelling of Liu in second bullet point.

UPDATE (April 20, 14:50 UTC): Adds Coinbase-Bybit relation in U.S., Bybit’s U.S. entry plans starting in third paragraph.

Work on global standards for stablecoins has slowed over the past year, raising concern among central bankers that gaps in oversight could split markets and amplify risk.

Bank of England Governor Andrew Bailey, who chairs the Financial Stability Board, said progress on international rules has stalled, Reuters reported last week. That’s a concern, Bank for International Settlements (BIS) General Manager Pablo Hernández de Cos said Monday in Japan.

Global coordination is critical to avoid a patchwork of rules that firms could exploit, de Cos said, according to Reuters. Without international alignment, companies may shift operations to jurisdictions with lighter oversight, a practice known as regulatory arbitrage.

The warning comes as major economies push ahead with their own frameworks, often on different timelines and with different approaches.

The stablecoin sector has expanded over the last few years, and now accounts for $320 billion according to DeFiLlama. Tether’s USDT and Circle Internet’s (CRCL) USDC make up most of that figure. De Cos said their structure can resemble securities more than cash, noting that redemption frictions can push prices away from their intended $1 value.

He also said that sudden withdrawals could ripple through markets. Proposals to reduce risk include limiting interest payments on stablecoins and giving issuers access to central bank lending facilities or deposit-insurance-type arrangements.

Policymakers argue such measures could make the sector safer while preserving its role in digital payments.

In the U.S., lawmakers are working to advance the Digital Asset Market Clarity Act, which would set federal rules for digital asset markets.

The bill passed the House last year and is now before the Senate, where Banking Committee Chairman Tim Scott and Agriculture Committee Chairman John Boozman are leading the push. Senators Thom Tillis and Angela Alsobrooks have negotiated a compromise on stablecoin yield that could clear the way for a markup, while Senator Cynthia Lummis, who chairs the Banking Committee’s digital assets subcommittee, has said a hearing could come in the second half of April.

A deal remains contingent on resolving several open questions, including DeFi oversight and ethics provisions.

The DeFi sector is reeling from the effects of a suspected North Korea-linked hack which has spread to multiple protocols and saw DeFi poster child Aave’s TVL drop by a third.

Saturday’s incident saw $290 million worth of Kelp DAO’s liquid staking token, rsETH, stolen via the Layer Zero bridge.

The loot was deposited into Aave and used to borrow $236 million of WETH. But with liquidity drained, and markets frozen, users began to panic, withdrawing collateral where they could and borrowing whatever they could get their hands on.

In all, since Saturday, almost $9 billion has left Aave, with the protocol potentially facing hundreds of millions of dollars of bad debt.

The question of who will foot the bill is still very much to be decided.

The hack

The hack, which Layer Zero suspects was carried out by the Lazarus Group of North Korean state sponsored hackers, exploited rsETH issuer KelpDAO’s “single-DVN setup” for bridging their token.

Layer Zero bridges tokens between blockchains, and uses decentralized verifier networks (DVNs) to validate transactions. The model puts the onus on asset issuers to “define their own security posture,” including DVN thresholds.

In Kelp DAO’s case, they used a 1-of-1 setup relying on Layer Zero’s DVN.

Aside from an initial acknowledgement posted to X, there’s been no further communication from Kelp DAO itself.

Read more: Inside the $280M Drift hack: weeks of setup, minutes to drain

Layer Zero claims its DVN was compromised through a “highly sophisticated… RPC-spoofing attack.” RPCs are nodes which allow external apps to read blockchain data.

The attack presented malicious info only to the targeted DVN, skirting monitoring efforts. In addition, it performed a DDoS attack on uncompromised RPCs to trigger fallback to the “poisoned” ones.

However, pseudonymous veteran DeFi developer banteg pushed back on Layer Zero’s characterization as an RPC poisoning attack, which suggests purely outside interference. With attackers pulling off an “infra breach within the perimeter… the real story is a targeted implant operating inside the trust boundary.”

They disapprove of “such elaborate distancing,” warning “given it doesn’t say how the breach has occurred, I wouldn’t rush re-enabling the bridges.”

Read more: Hyperbridge exploited less than two weeks after April Fools’ day hack prank

The fallout

Aside from the hack itself, the real damage has spread across DeFi, especially on the sector’s flagship lending protocol, Aave.

Rather than selling such a large quantity of rsETH, crashing its price, the attacker chose to borrow against it. Depositing stolen rsETH as collateral into Aave and other lending platforms, they then borrowed $236 million worth of WETH, according to blockchain audit firm Peckshield’s tally.

Crypto adoption in the U.S. has staged a comeback, even as sentiment around prices remains cautious, according to German lender Deutsche Bank (DB).

In a new retail survey spanning 3,400 consumers across the U.S., U.K. and EU, the bank said U.S. participation rebounded to 12% in March from a February low of 7%, returning to levels last seen in July 2025. The report’s data suggested adoption has not topped 14% in the survey’s history, dating back to 2023.

Bitcoin exchange-traded funds (ETFs) saw a resurgence in March, attracting roughly $1.3 billion in net inflows, the report said, signaling renewed institutional demand after a weak start to the year.

“After steadily declining since July 2025, U.S. crypto adoption rates recovered in March,” wrote analysts Marion Laboure and Camilla Siazon in the Monday report.

Crypto prices have shown signs of stabilization after a volatile start to 2026, with last month marking a tentative rebound driven by renewed institutional demand and geopolitical tailwinds.

Bitcoin rose roughly 9% in March, recovering toward the $70,000 level after earlier declines, though it remains down more than 20% year-to-date and well below its late-2025 peak above $120,000. More recently, prices have pushed higher into the mid-$70,000s, briefly topping $77,000 amid easing geopolitical tensions and improving risk sentiment.

The recovery has been uneven. Prices have repeatedly tested resistance around the mid-$70,000 range, with analysts pointing to that level as a key breakout threshold for further upside. At the same time, macro pressures, including higher-for-longer interest rates and energy-driven inflation, continue to weigh on crypto alongside broader risk assets

Elsewhere, trends were more muted. U.K. adoption dipped slightly to 9% but remains structurally higher over the long term, the analysts said, while Europe held steady at 7%.

Despite the rebound in participation, consumer sentiment on bitcoin’s price outlook is subdued.

A majority of respondents across regions expect bitcoin to trade lower than current levels near $75,000 by the end of 2026. In the U.S., 19% see prices landing between $20,000 and $60,000, while 13% expect a drop below $20,000, a level last seen in early 2023. Only a small minority, around 3% in the U.S., anticipate a return to record highs near $120,000.

The world’s largest cryptocurrency was trading around $75,000 at publication time.

Still, bitcoin remains firmly at the center of the crypto market. Roughly 70% of crypto investors across regions hold bitcoin, far exceeding ownership of stablecoins such as USDT or USDC, the report said. It is also the top choice for future investment, cited by 69% of U.S. respondents.

Traditional assets continue to compete for investor attention. Gold and the S&P 500 remain favored overall, though the gap has narrowed in the U.S., where preferences are more evenly split across the three.

Demographically, crypto adoption remains skewed toward men and higher-income households, though the report noted gradual gains among women and lower-income investors. Younger consumers, particularly in the UK, showed the fastest growth in participation.

Read more: Bitcoin may be forming a base at $65,000 as ‘paper hands’ have been flushed out

Little Pepe presale nears completion as funding surpasses $28M and tokens sell out rapidly.

The traction behind Little Pepe (LILPEPE) is no longer something that can be ignored. The project has now exceeded $28,101,728 in its ongoing presale, getting close to reaching its $28,775,000 target. With 16,943,966,303 tokens sold out of 17,250,000,000 tokens for this phase, the time for early entry is closing much faster than expected.

Currently at Stage 13, the token is valued at $0.0022. The next stage will see the token move to a valuation of $0.0023. For early entrants who got in at the Stage 1 valuation of $0.001, this is a 120% move on paper, a move that is clearly attracting both retail investors and more sophisticated investors who seek asymmetric returns.

What stands out is not just the speed of the rise, but the consistency of demand across stages. Each price increment has been met with fresh inflows, suggesting that buyers are not waiting around for dips.

Beyond memes: A layer 2 play with real utility

While the memecoin sector is often driven by hype cycles, Little Pepe is attempting to position itself differently. At its core, the project is building a Layer 2 EVM-compatible chain designed to be ultra-fast, low-cost, and scalable. This infrastructure angle introduces a layer of utility that many meme tokens simply do not offer.

The ecosystem is designed with zero transaction tax, which removes friction for traders and aligns with what has historically worked in high-growth meme cycles. On top of that, the roadmap includes staking mechanisms and NFT integrations, features aimed at keeping users engaged beyond speculative trading.

Security and fairness are also part of the pitch. The anti-sniping measures are expected to be in place, helping to mitigate bot-driven manipulation in the early stages of trading. With plans to list on top centralized exchanges as well as Uniswap, it is clear that accessibility as well as liquidity are a priority for this project from day one.

There is also a broader ambition in play. With messaging around a potential “1 billion market cap or bust” and ambitions of entering the top 100 on CoinMarketCap, Little Pepe is leaning into both narrative and execution, a combination that tends to resonate in this segment of the market.

Giveaways, incentives, and community energy driving growth

Community participation has been a major driver behind the presale’s traction. The ongoing $777,000 giveaway has added a strong incentive layer, offering 10 winners $77,000 worth of LILPEPE tokens each. Entry requires a minimum $100 contribution, along with completing social engagement tasks, effectively blending fundraising with viral growth mechanics.

In parallel, the Mega Giveaway campaign is targeting buyers between Stages 12 and 17, where both large and randomly selected participants stand a chance to win over 15 ETH in rewards. These campaigns have significantly amplified visibility, pushing the project across social channels and keeping engagement levels high.

Memecoin market outlook: Timing could be everything

However, if we were to look at the broader memecoin space, it does seem to be entering another period of resurgence. Of course, as blue-chip assets like Bitcoin continue to strengthen, liquidity tends to move towards higher-risk, higher-reward areas, and meme coins have historically seen the greatest benefit from this.

Of course, as can be seen, things have changed somewhat. The environment has become more discerning, with a bias towards projects that at least have some form of utility or differentiation. Yes, there are still projects that are based on pure hype, but they are shorter-lived.

This is where Little Pepe’s positioning becomes relevant. By combining meme culture with a Layer 2 infrastructure narrative, it is attempting to bridge two worlds, one driven by community energy and the other by technological relevance.

Whether or not they are successful in their lofty endeavors remains to be seen. However, from what can be gauged from their current presale performance, it is safe to say that Little Pepe is a meme coin that is definitely worth keeping an eye on.

For more information, visit the official website, X, Telegram.

Cloud mining platforms attract new users in 2026 seeking simple entry into Bitcoin mining.

Interested in participating in Bitcoin mining in 2026 but don’t want to purchase expensive mining hardware? Then cloud mining platforms remain one of the simplest and most hassle-free options available.

Nowadays, an increasing number of investors are entering the market through free cloud mining platforms, allowing them to easily mine mainstream cryptocurrencies — such as BTC, DOGE, and LTC — without the need to set up their own equipment or bear the burden of high electricity and maintenance costs.

However, while there are many platforms on the market, few are truly worth considering. A robust cloud mining platform must not only feature a clear and transparent earnings mechanism but also possess stable data centers, an automated payment system, and a sufficiently secure operational infrastructure.

Based on a comprehensive assessment of 2026 market trends and platform-specific features, SHRMiner, BitFuFu, IQMining, Binance Cloud Mining, and CCG Mining stand out as the top five platforms currently worthy of close attention.

1. SHRMiner: The cloud mining platform to watch in 2026

For those who are looking for a service that strikes a balance between security, flexibility, and user-friendliness, SHRMiner is currently a popular choice.

Launched in 2018 and headquartered in the UK, SHRMiner operates over 100 large-scale renewable energy mining farms across locations such as the United States, the UK, Russia, Switzerland, Iceland, Virginia, Georgia, and Vancouver (Canada), utilizing renewable sources — including hydropower and wind power — to enhance mining efficiency.

The platform specializes in mining mainstream cryptocurrencies such as BTC, LTC, and DOGE. Users are not required to purchase any hardware; they simply need to select a suitable contract to get started. The platform offers a wide range of contracts — spanning options from low-entry thresholds to advanced packages — making it suitable for users with varying budgets.

SHRMiner: Core advantages

Sign up to receive a $15 bonus and a free mining trial.

• Supports daily automatic settlement
• No electricity or maintenance fees charged
• Uses advanced ASIC mining equipment
• Connects to green energy sources to improve operational efficiency
• Provides SSL encryption and DDoS protection
• Visualized earnings data, simple and transparent operation
• Simultaneously supports mining of mainstream cryptocurrencies such as BTC, LTC, and DOGE
• Affiliate Program: Join the affiliate program and earn up to 4.5% commission rewards, with a chance to win up to 30,000 in commission rewards.

Whether seeking flexible short-term returns or prioritizing stable long-term yields, users can find options tailored to their needs on the platform. For further details regarding mining contracts, please click here to learn more.

SHRMiner gained popularity in 2026 primarily because it caters equally well to beginners — enabling them to get started quickly — and to advanced users, offering flexible configuration options. From the introductory user experience to contract scalability, its overall performance is well-balanced.

2. BitFuFu: A professional platform backed by Bitmain

BitFuFu has garnered significant market attention due to its affiliation with Bitmain. For users who prioritize mining rig resources and hardware expertise, platforms of this nature hold particular appeal. BitFuFu is well-suited for investors seeking a more mature and sophisticated mining service ecosystem.

3. IQMining: A key option for users seeking long-term contracts

IQMining has been in operation for many years and is distinguished by its offering of longer-term mining contracts. For users who do not seek to capitalize on short-term fluctuations but instead prioritize long-term planning, IQMining is a common choice.

4. Binance Cloud Mining: Integrated trading and mining

The greatest advantage of Binance Cloud Mining lies in its ecosystem integration. Users can manage both their mining activities and asset flows directly within their Binance accounts, eliminating the need to frequently switch between platforms. For investors who are already using Binance, this makes the process even more convenient.

5. CCG Mining: A key platform in the European market

CCG Mining offers a comprehensive range of services, including cloud mining, mining rig sales, and hosting. The platform enjoys a certain level of recognition within the European market and is well-suited for users interested in exploring diverse mining services.

Why are more and more people choosing cloud mining in 2026?

Compared to traditional hardware mining, the greatest advantages of cloud mining are:

• No need to purchase expensive equipment
• No need to bear high electricity costs
• No technical maintenance expertise required
• Get started quickly, immediately after registering

Some platforms also offer free trials and reward mechanisms; for average users, this model is evidently more convenient and better suited for accessing the crypto market with a low barrier to entry.

Conclusion: Which cloud mining platform is most worth watching in 2026?

From the perspective of the overall user experience, SHRMiner remains one of the most competitive platforms in 2026. It excels in terms of platform transparency, mining processes, settlement efficiency, and user-friendliness for beginners, while also supporting multiple cryptocurrencies — including BTC, LTC, XRP, and DOGE — demonstrating strong versatility.

Of course, for those who prioritize exchange integration, Binance Cloud Mining offers greater convenience; however, if someone values long-term, stable contracts, IQMining and CCG Mining are also excellent options to consider.

Overall, when selecting the optimal cloud mining platform, it is advisable to focus primarily on the platform’s background, security mechanisms, contract flexibility, and actual user experience. For users looking to embark on a free cloud mining journey in 2026, prioritizing platforms that are transparent, secure, and feature clear settlement procedures will prove to be the most prudent approach.

Global liquidity is set to deteriorate sharply, according to Russell Thompson, chief investment officer at crypto asset manager Hilbert Group (HILB), who said even a quick geopolitical resolution in Iran is unlikely to sustain a rally in risk assets without policy support.

Liquidity conditions have stabilized in parts of the financial sector following the rollout of the reserve maturity program (RMP), Thompson said, but a broader tightening of 20%–25% is approaching, a significant drag that could leave bitcoin BTC$75,443.73 struggling in the near term.

“Even with a resolution quickly in Iran, I do not believe that risk assets will rally for any sustainable time without outside help,” Thompson said in the report published last week.

Thompson said he expects U.S. policymakers to respond. He pointed to likely measures including reform of the supplementary leverage ratio (SLR), a sizable drawdown of the Treasury General Account (TGA) without offsetting Federal Reserve bill issuance, and a series of rate cuts under a potential new Fed chair.

The SLR is a banking regulation that sets how much capital large banks must hold against their total leverage. The TGA is the U.S. Treasury’s main cash account at the Federal Reserve.

When the Treasury draws down the TGA (spends money from it), liquidity is effectively injected into the financial system; when it builds the TGA, liquidity is drained.

Bitcoin’s performance over the past six months has been marked by sharp volatility, a clear shift from late-2025 exuberance to a more fragile, macro-driven market.

After hitting an all-time high above $126,000 in October 2025, bitcoin entered a sustained drawdown through the end of the year and into early 2026. By February, prices had fallen to roughly $63,000, a decline of about 50% from the peak, amid a broader crypto market sell-off and tightening financial conditions. This period was characterized by weaker demand, exchange-traded fund (ETF) outflows and a more risk-off macro backdrop, with BTC underperforming equities in some stretches.

Bitcoin is currently trading around $75,600, leaving it significantly off its peak but no longer in freefall. The last six months, in short, have seen a full cycle: from peak euphoria, to a deep correction, to a tentative stabilization phase, with macro liquidity, policy expectations and investor positioning now the dominant drivers.

Advances in crypto regulation could also provide support. Thompson said he anticipates legal clarity on key measures before the summer recess and a faster-than-expected expansion of the Fed’s balance sheet as disinflationary pressures build.

Higher oil prices, he argued, could ultimately weigh on growth, while a softening labor market and emerging stress in private credit may add to the disinflationary backdrop.

Markets remain overly focused on the Federal Reserve as the primary source of liquidity, Thompson said, but the U.S. Treasury has significant capacity to inject funds into both the real economy and financial markets. With Treasury leadership experienced in deploying such tools, he expects a more proactive approach.

The result: short-term pressure on bitcoin, but improving conditions over the medium term.

Thompson said he expects bitcoin to be “significantly higher” by year-end as liquidity dynamics evolve. Even in a more protracted scenario, he sees liquidity bottoming around 2027, a timeline that could coincide with fresh all-time highs.

Read more: U.S. crypto adoption is rebounding, bitcoin still dominates, Deutsche Bank says