For some reason, cats just have a thing for stealing dogs' beds. Now, normally, we'd look at that and see kind of a jerk move by the cat - tsk tsk tsk you don't need that much space friend, and you have your own bed.
But in this case, yes, the theft may have occurred, but it was theft with permission. Because this bestest of all best boy large doggo gets up and gives the kitten his bed. So, we just know that, with compromises such as these, this is a friendship that is very likely to blossom into something too adorable to handle.