This Hack Just Broke DeFi… And Exposed Everything

About this episode

The episode discusses the Kelp DAO exploit, the largest hack in DeFi history, and its implications for the crypto ecosystem.

In less than 24 hours, DeFi was rocked by its largest hack of 2026: the Kelp DAO exploit. Using a fatal flaw in a LayerZero bridge, hackers siphoned $293 million in rsETH—then triggered a $10 billion ecosystem-wide bank run. Guy unpacks how a single validator setup put your crypto at risk and how blue-chip protocols like Aave and Compound were blindsided in minutes.If you use DeFi, you cannot afford to miss the hard truths revealed by this attack: why composability cuts both ways, which protocols are exposed, and how fast a bridge failure can nuke an entire market. Watch now to see the play-by-play, what failed, and what every smart user must know before the next big hack.

People in this episode

Host: Guy

Topics covered

• DeFi
• crypto security
• hacking
• LayerZero bridge
• bank run
• protocol vulnerabilities

Keywords

• DeFi hack
• Kelp DAO
• LayerZero
• bank run
• crypto vulnerabilities
• Aave
• Compound
• rsETH

Mentioned in this episode

Organizations: Kelp DAO, LayerZero, Aave, Compound

Products: rsETH

More episodes of Coin Bureau

• Why JPMorgan Fears Crypto More Than Ever · June 12, 2026 · 13 min
• The Dark Side of Tokenized Startup Shares · June 11, 2026 · 19 min
• The Secret Fight To Keep Crypto Out · June 11, 2026 · 12 min
• The Corporate Meltdown That Could Crush Bitcoin · June 10, 2026 · 13 min
• Was Satoshi Even Human? · June 9, 2026 · 41 min
• Why Wall Street Is Really Afraid of Hyperliquid · June 9, 2026 · 22 min