Overview
- The Wyoming Stable Token Commission completed migration of its FRNT dollar-backed stable token to Chainlink’s CCIP after a security review found repeated operational failures at LayerZero.
- The review followed the April $292 million exploit tied to KelpDAO and concluded that LayerZero had weak access controls, mishandled production authorization, and lost control of a private key linked to a live FRNT deployment.
- Wyoming said Chainlink CCIP met its institutional criteria by distributing verification across 16 independent node operators, holding SOC 2 Type 2 certification, passing extensive audits, and offering configurable rate limits.
- LayerZero’s CEO disputed the severity of the findings, calling the main issue a minor view-only feature that was fixed, but Wyoming moved forward with the switch and publicly released its assessment.
- The move sets a model for how regulated issuers may vet cross-chain infrastructure, signals tighter expectations for government-backed digital assets, and reflects wider industry concern about cross-chain verification risks.