Kraken is deprecating its cross-chain provider and migrating to Chainlink CCIP as the exclusive infrastructure for its wrapped assets.
Summary
- Kraken chose Chainlink CCIP for its ISO 27001 and SOC 2 compliance, 16 independent nodes, native rate limits, and enterprise-grade security standards.
- The migration covers Kraken Wrapped Bitcoin (kBTC) and all future Kraken wrapped assets deployed across DeFi protocols.
- The move follows similar migrations by Kelp, Solv, and Re after the $292 million KelpDAO exploit in April that hit a LayerZero-powered bridge.
Kraken posted the announcement on X on May 14, confirming that Chainlink’s Cross-Chain Interoperability Protocol will become its exclusive bridge infrastructure going forward.
The exchange did not specify a migration timeline but said the switch covers kBTC, its 1:1 Bitcoin-backed wrapped token, and all future Kraken wrapped assets that it plans to bring to DeFi.
Kraken cited enterprise-grade security as the primary reason for the migration, pointing to Chainlink CCIP’s ISO 27001 and SOC 2 compliance certifications, its network of 16 independent node operators, native rate limits, and other risk management features.
The exchange said it chose CCIP to accelerate global crypto adoption by unlocking DeFi services and distribution for its entire wrapped asset suite.
Why platforms are moving away from LayerZero
The Kraken migration is part of a broader post-exploit shift in the cross-chain infrastructure market. April’s $292 million KelpDAO breach, which hit a bridge powered by LayerZero, triggered a wave of reviews and migrations across DeFi platforms. Kelp, Solv, and Re had already switched to CCIP before Kraken’s announcement, each citing security as the driver.
Chainlink CCIP has been building institutional adoption steadily through 2026. SBI Digital Markets, the digital asset division of Japan’s SBI Group, adopted CCIP as its exclusive interoperability layer for tokenized real-world assets in November 2025.
Chainlink says CCIP has supported over $28 trillion in cumulative onchain transaction value. The protocol averages approximately $90 million in weekly token transfers, according to market data. Kraken launched kBTC on Ethereum in October 2024, positioning the token as a transparent, audited alternative to existing wrapped bitcoin products amid scrutiny over wBTC’s ownership structure.
