LayerZero to withdraw support for 14 low-activity chains within 30 days

LayerZero said it will withdraw off-chain support within 30 days, by September, from 14 low-activity chains, including Arbitrum Nova, Cronos zkEVM, Degen, Skale Europa, Superposition and Shrapnel. The move will deprecate its decentralized verifier network and Executor services, which facilitate cross-chain communication, potentially leaving assets such as USDT and USDC stranded if they are not moved before the shutdown. LayerZero initially listed 15 networks, creating an unresolved discrepancy with the later figure of 14, and has flagged more than 30 chains with low activity since July, including the recently shut BounceBit. The retrenchment follows the KelpDAO $292 million exploit, which was linked to a recommended 1-of-1 DVN configuration, and comes as projects migrate to Chainlink CCIP. Zach Rynes estimated that $15 billion had moved from LayerZero, while its bridged volume fell fourfold from nearly 400,000 ETH to about 100,000 ETH after the exploit.

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