LayerZero Secures $110 Million Acquisition of Stargate in Competitive Bid
- LayerZero’s acquisition proposal for Stargate was approved with a 95% majority vote from the community, representing 7.2 million STG tokens.
- The total acquisition cost is $110 million, revised from an initial offer deemed unfair by Stargate holders.
- Over 15,000 addresses participated in the vote, marking it as the highest participation in Stargate’s history.
- Wormhole made a counter-offer of $120 million, proposing immediate payments to stakers based on projected revenues.
- Under the new deal, all circulating STG will be exchanged for LayerZero (ZRO) at a ratio of 1 STG to 0.08634 ZRO.
The competitive bidding process involved multiple parties, including Wormhole and Axelar Network, but ultimately concluded with LayerZero regaining control over its creation, Stargate. This acquisition underscores the growing interest in cross-chain protocols and their potential benefits.
With a decisive vote reflecting strong community support, LayerZero’s successful bid highlights its commitment to enhancing cross-chain transfers through Stargate’s innovative liquidity pools.(Source)
