Blockchain interoperability protocol LayerZero has made it clear that it will launch a token after months of fervent speculation.
“LayerZero has always been built with the ability to have a native token within the protocol, as seen in the immutable code launched on day 1. We’ve heard the community discussion over the past few months and the lack of clear communication around this”, the project posted on X.
“We will now state in no uncertain terms that there will be a LayerZero token. Its distribution is something we want to get right and expect this to happen in the first half of 2024,” it added.
This involves handing out the token in the form of an airdrop, a common method of rewarding early adopters with tokens. Tokens from previous projects often carry governance rights over the future development of the token and the idea is that the users of the protocol will be best placed to decide how it should develop in the future.
That said, the terms of the airdrop may not have been determined yet and the snapshot – the last point at which transactions count towards qualifying for the airdrop – may already have been taken.
LayerZero allows users to move data and assets across blockchains. In April 2023, the development company raised $120 million in a Series B funding round at a valuation of $3 billion.
About the author
Tim is editor-in-chief of The Block. Before joining The Block, Tim was news editor at Decrypt. He has a bachelor’s degree in philosophy from the University of York and studied news journalism at the Press Association Training. Follow him on X @Timccopeland.
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