HomeChainlinkLombard Drops LayerZero for Chainlink to Secure $1B Bitcoin Assets

Lombard Drops LayerZero for Chainlink to Secure $1B Bitcoin Assets

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  • Lombard becomes the latest protocol to drop LayerZero for Chainlink after a comprehensive security review.
  • Lombard will secure approximately $1 billion in Bitcoin assets on Chainlink CCIP.

The LayerZero fallout continues with more projects dropping the protocol for Chainlink’s CCIP. The latest is Lombard, a decentralized finance protocol building on-chain Bitcoin capital, which revealed that, after a comprehensive security review, it will be migrating exclusively to the Chainlink network. This means that CCIP will replace LayerZero as the cross-chain infrastructure across Solana, Etherlink, Berachain, Corn, and TAC.

Lombard highlighted Chainlink’s security and track record as part of its reason for the migration. The protocol pointed to the 16 independent, security-reviewed node operators, ISO 27001 and SOC 2 Type 2 certifications that are trusted by SWIFT and Mastercard, and also the native rate limits that act as circuit breakers in worst-case scenarios.

The protocol notes that it is also adopting the Cross-Chain Token (CCT) standard, a burn-and-mint bridging model that enables a single canonical token across chains, with full Lombard ownership over token contracts.

Billions Flowing into Chainlink

Prior to this announcement, approximately $4 billion was moving to the Chainlink ecosystem. Lombard just added approximately $1 billion in Bitcoin assets. Speaking on the decision, Jacob Phillips, co-founder of Lombard, stated:

“We recently conducted extensive internal security reviews of all cross-chain solutions. It became clear that Chainlink CCIP provides the highest level of cross-chain security in the industry. By deprecating migrating to Chainlink CCIP to secure LBTC and BTC.b, we’re providing our users the assurances needed to drive long-term growth and the continued expansion of Lombard.”

Chainlink has applauded the decision by Lombard, noting that it aligns with the broader DeFi shift that seeks to ensure the highest standards of security and reliability required to support institutional adoption and scale.

Johann Eid, Chief Business Officer at Chainlink Labs, stated:

“We’re proud to work with Lombard and support its migration to Chainlink CCIP. This marks an important milestone in establishing a standardized, secure cross-chain foundation for Bitcoin-backed assets to be distributed seamlessly across chains.”

Chainlink has seen its cross-chain infrastructure gain massive attention as more protocols migrate from LayerZero. As ETHNews reported, recent cross-chain hacks observed in the industry, most notably the recent $300 million bridge hack on KelpDAO, have led to an extensive review of security measures. Chainlink’s track record and infrastructure have distinguished it in the market.

Crypto exchanges are also migrating to CCIP technology. As ETHNews reported, Kraken confirmed that it is deprecating its existing cross-chain provider and migrating to Chainlink Cross-Chain Interoperability Protocol (CCIP).

Aave has also announced that Aave V4 Spokes now use Chainlink SVR price feeds for eligible assets. The network says Chainlink SVR routes oracle-related MEV from liquidations back to the protocol, creating a reliable revenue stream for Aave DAO.

At the time of writing, Chainlink’s LINK coin is exchanging for $9.82 after a 2% price rise in the last 24 hours.

Onchain analyst Ali Charts recently stated that LINK is ready to break out of an ascending triangle and is expecting a move toward $12.42.

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Syofri
Syofri
Syofri is an active forex and crypto trader who has been diligently writing the latest news related to the digital asset sector for the past six years. He enjoys maintaining a balance between investing, playing music, and observing how the world evolves. Business Email: info@ethnews.com Phone: +49 160 92211628
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