In one embodiment, a method for providing multi-protocol overlay handling includes receiving first traffic via an input overlay tunnel at a multi-protocol virtual tunnel end point (VTEP)-enabled device, the first traffic including a plurality of overlay-encapsulated packets which adhere to a first overlay network protocol, and wherein the input overlay tunnel adheres to the first overlay network protocol; routing the first traffic to a second overlay network tunnel which adheres to a second overlay network protocol when a destination of the first traffic is specified as the second overlay network tunnel, the second overlay network tunnel being terminated at the multi-protocol VTEP-enabled device; and bridging the first traffic to a destination overlay network tunnel terminated at the multi-protocol VTEP-enabled device when the destination of the first traffic is specified as the destination overlay network tunnel, the destination overlay network tunnel being terminated at the multi-protocol VTEP-enabled device.