I've been tempted to get into layer Zero because I see almost every project using it as their cross chain solution. But man does their tokenomics scare me off..

First of all, only about 10% of the tokens are circulating and the rest will unvest over 3 years. That's very short. Most of it is held by VCs and the team.

Second, the token is mostly a governance token and is not required to pay for network fees.

LAYER ZERO TOKENOMICS

LayerZero's native token, ZRO, has a fixed total supply of 1 billion tokens. The distribution is structured as follows:

Community and Ecosystem Allocation: 38.3% of the total supply is designated for the community, developers, and users. On the first day of the airdrop, 8.5% was made available to eligible participants, with the remainder supporting future distribution programs and ecosystem growth.

Strategic Partners: 32.2% of the tokens are allocated to strategic partners, following a three-year vesting period that includes a one-year lock-up and subsequent monthly unlocks over the next two years.

Core Contributors: 25.5% is reserved for core contributors, adhering to the same vesting schedule as strategic partners.

Future Distributions: 15.3% is set aside for future distributions to users, protocols, infrastructure builders, and community members through programs like Requests for Proposals (RFPs).

Tokens Repurchased: 4% of the tokens have been repurchased and pledged to the community bucket to ensure fair and sustainable distribution.

Regarding the emission schedule, the next significant token unlock event is scheduled for June 20, 2025, when approximately 24.68 million ZRO tokens (2.47% of the total supply) will be released.

UTILITY

LayerZero's native token, ZRO, serves multiple functions within its ecosystem, primarily focusing on governance and incentivization. However, its role in transaction fees is not exclusive, as the protocol allows for flexibility in fee payments.

Governance and Incentives: ZRO acts as the governance token for LayerZero, enabling holders to participate in decision-making processes regarding protocol upgrades and changes. Additionally, it serves as an incentive mechanism to encourage active participation and development within the LayerZero community.
BINANCE ACADEMY

Transaction Fees: While ZRO can be used to pay for cross-chain message fees, it is not the sole option. Users have the flexibility to utilize other tokens, such as USDC or WETH, for these fees. This indicates that ZRO does not have a unique use case in this context, as it operates alongside other tokens for transaction purposes.
DATA WALLET

Implications for Buying Pressure: Given that ZRO is not exclusively required for transaction fees and can be substituted with other tokens, the direct buying pressure on ZRO from transaction activities may be limited. Its demand is more closely tied to governance participation and community incentives rather than being driven by transactional necessity.

In summary, while ZRO plays a significant role in governance and incentivization within the LayerZero ecosystem, its impact on buying pressure is moderated by the protocol's flexible approach to transaction fee payments.

Sources: https://www.datawallet.com/crypto/what-is-layerzero , https://cryptorank.io/price/layerzero/vesting

An omnichain interoperability protocol. LayerZero enables the realization of cross-chain applications with a low level communication primitive.

Layer Zero

I've been tempted to get into layer Zero because I see almost every project using it as their cross chain solution. But man does their tokenomics scare me off..

First of all, only about 10% of the tokens are circulating and the rest will unvest over 3 years. That's very short. Most of it is held by VCs and the team.

Second, the token is mostly a governance token and is not required to pay for network fees.

LAYER ZERO TOKENOMICS

LayerZero's native token, ZRO, has a fixed total supply of 1 billion tokens. The distribution is structured as follows:

Community and Ecosystem Allocation: 38.3% of the total supply is designated for the community, developers, and users. On the first day of the airdrop, 8.5% was made available to eligible participants, with the remainder supporting future distribution programs and ecosystem growth. 

Strategic Partners: 32.2% of the tokens are allocated to strategic partners, following a three-year vesting period that includes a one-year lock-up and subsequent monthly unlocks over the next two years. 

Core Contributors: 25.5% is reserved for core contributors, adhering to the same vesting schedule as strategic partners. 

Future Distributions: 15.3% is set aside for future distributions to users, protocols, infrastructure builders, and community members through programs like Requests for Proposals (RFPs). 

Tokens Repurchased: 4% of the tokens have been repurchased and pledged to the community bucket to ensure fair and sustainable distribution. 

Regarding the emission schedule, the next significant token unlock event is scheduled for June 20, 2025, when approximately 24.68 million ZRO tokens (2.47% of the total supply) will be released. 

UTILITY

LayerZero's native token, ZRO, serves multiple functions within its ecosystem, primarily focusing on governance and incentivization. However, its role in transaction fees is not exclusive, as the protocol allows for flexibility in fee payments.

Governance and Incentives: ZRO acts as the governance token for LayerZero, enabling holders to participate in decision-making processes regarding protocol upgrades and changes. Additionally, it serves as an incentive mechanism to encourage active participation and development within the LayerZero community. 
BINANCE ACADEMY

Transaction Fees: While ZRO can be used to pay for cross-chain message fees, it is not the sole option. Users have the flexibility to utilize other tokens, such as USDC or WETH, for these fees. This indicates that ZRO does not have a unique use case in this context, as it operates alongside other tokens for transaction purposes. 
DATA WALLET

Implications for Buying Pressure: Given that ZRO is not exclusively required for transaction fees and can be substituted with other tokens, the direct buying pressure on ZRO from transaction activities may be limited. Its demand is more closely tied to governance participation and community incentives rather than being driven by transactional necessity.

In summary, while ZRO plays a significant role in governance and incentivization within the LayerZero ecosystem, its impact on buying pressure is moderated by the protocol's flexible approach to transaction fee payments.

Sources: https://www.datawallet.com/crypto/what-is-layerzero , https://cryptorank.io/price/layerzero/vesting

Layer Zero's Tokenomics Scare Me

Blockbuster

layerzero.webp

LayerZero is a protocol that enables blockchains to communicate with each other. It was launched in 2021. The team raised $263 million from investors, and the project's valuation reached $3 billion. This is the amount that owners would receive if they decide to sell the project. In December 2023, the developers announced that they would share plans for launching a coin in early 2024. LayerZero is arguably the most anticipated airdrop of this year.

Why should you choose him?

Ranvem

Sad to see Layer Zero - ZRO go down 43% since it's launch.

Why good technology seems to be a bad investments? VC-backed tokens such as Eigenlayer have alienated the retail market with greedy VCs that invest upward of $120M into crypto assets early on, and then push to release on a fully diluted market cap that far exceed what it should be, leaving retail buyers to lose 43% of their money. These investors learn to avoid VC-backed project with high FDV and then move onto meme coin where they actually have a chance to get 1000%+ returns and in this case possibly even dump on the head of the VC's.

Technology wise, ZRO is a marvel, then came along DeBridge with a simpler technology that solve the problem without solving it, it's a bridgeless platform to bridge assets without bridging them. Meaning, market makers and whales can allocate their tokens on various chains, for example wETH on Solana, Base, ETH, Matic to DeBridge so that other users can swap their wETH from ETH to Solana without actually moving the asset itself across chains, the market makers just act as intermediaries which significantly reduce costs while making it near instant. You still need an actual bridge from time to time, but you can probably get away with using a bridgeless bridge 99% of the time making bridge technology like ZRO much less valuable.

A stand against ZRO is a stand against greedy VCs.

Sad to see [Layer Zero - ZRO](https://layerzero.network/) go down 43% since it's launch. 

Why good technology seems to be a bad investments? VC-backed tokens such as Eigenlayer have alienated the retail market with greedy [VCs that invest upward of $120M](https://cryptorank.io/ico/layerzero) into crypto assets early on, and then push to release on a fully diluted market cap that far exceed what it should be, leaving retail buyers to lose 43% of their money. These investors learn to avoid VC-backed project with high FDV and then move onto meme coin where they actually have a chance to get 1000%+ returns and in this case possibly even dump on the head of the VC's.

Technology wise, ZRO is a marvel, then came along [DeBridge](https://app.debridge.finance/r/9384) with a simpler technology that solve the problem without solving it, it's a bridgeless platform to bridge assets without bridging them. Meaning, market makers and whales can allocate their tokens on various chains, for example wETH on Solana, Base, ETH, Matic to DeBridge so that other users can swap their wETH from ETH to Solana without actually moving the asset itself across chains, the market makers just act as intermediaries which significantly reduce costs while making it near instant. You still need an actual bridge from time to time, but you can probably get away with using a bridgeless bridge 99% of the time making bridge technology like ZRO much less valuable.

A stand against ZRO is a stand against greedy VCs.

Crypto Rookies

LayerZero is a protocol that enables seamless, secure interoperability between blockchains. It allows the creation of a fully-connected network mesh between chains, both within and across compatibility groups.

The key innovation of LayerZero is the separation of intrinsic security (related to delivery guarantees like censorship resistance) from extrinsic security (like signature schemes). Intrinsic security is handled by an immutable Endpoint smart contract which provides strong delivery guarantees. Extrinsic security is implemented in updatable modules called MessageLibs, which are appended to an immutable registry. This separation allows extrinsic security to be customized on a per-application basis while still providing immutable intrinsic security.

The protocol also utilizes Decentralized Verifier Networks (DVNs) to verify packet data integrity and permissionless executors to handle feature logic separately from security verification. Overall, this modular architecture provides flexibility and extensibility to incorporate new blockchains and features over time, while maintaining strong security guarantees.

LayerZero is a protocol that enables seamless, secure interoperability between blockchains. It allows the creation of a fully-connected network mesh between chains, both within and across compatibility groups. 

The key innovation of LayerZero is the separation of intrinsic security (related to delivery guarantees like censorship resistance) from extrinsic security (like signature schemes). Intrinsic security is handled by an immutable Endpoint smart contract which provides strong delivery guarantees. Extrinsic security is implemented in updatable modules called MessageLibs, which are appended to an immutable registry. This separation allows extrinsic security to be customized on a per-application basis while still providing immutable intrinsic security. 

The protocol also utilizes Decentralized Verifier Networks (DVNs) to verify packet data integrity and permissionless executors to handle feature logic separately from security verification. Overall, this modular architecture provides flexibility and extensibility to incorporate new blockchains and features over time, while maintaining strong security guarantees.

James

Here is a very high-level review of LayerZero's security.

TL;DR - Why 2/5?

The tech is being used, and it delivers a good user experience.
The tech setup for dApps isn't secure or decentralized by default.
The token launch will be successful.

This is my first review, so please don't dislike me for it being a negative one (I promise to write positive ones as well), but LayerZero just launched an update, and I thought it would be a good opportunity to write this. I was one of the first 100 people in Stargate's Telegram group chat, so I've been following this project since mid-2021.

The fact that relayers and oracles have been able to collude has worried me a lot over the past years and has given me a lack of trust in the prioritization at LayerZero. What they've been saying about their architecture is almost the same as saying that something running on a single server is censorship-resistant because anyone can run the same script on their server. It is quite a surprise that no serious hack has happened yet.

A bit about the latest update from LayerZero - For me, as a true believer in decentralization, it hurts me to see Bryan Pellegrino opening up the latest update update video with, “We care deeply about permissionlessness, about censorship resistance, and about having contracts being immutable, and those used to be very popular things. They don’t seem to be that popular anymore.”

If we jump into the LayerZero V2 design, I am not sure it is any different tbh.

"With the V2 design, applications have complete control over security.

Applications may modify, combine, or remove DVNs however they deem necessary. This allows applications to improve security as new verification methods enter the market or reconfigure DVNs if risks arise."

If an application has full control over security, how is this any different from running a centralized application? How do we ensure that it is censorship-resistant? How is this any different from the earlier setup?

As a retail user, this obviously creates a lot of problems; you'll have to know the exact configuration of the dApp's security to know whether or not you can trust the dApp. And even if the initial setup looks good, you have to trust that they won't change the configuration retroactively.

With this being said. I do believe LayerZero will do well when it comes to token launch. I have been chasing the airdrop. I just think there are better technologies out there.

Here is a very high-level review of LayerZero's security.

TL;DR - Why 2/5?

- The tech is being used, and it delivers a good user experience.
- The tech setup for dApps isn't secure or decentralized by default.
- The token launch will be successful.

This is my first review, so please don't dislike me for it being a negative one (I promise to write positive ones as well), but LayerZero just launched an update, and I thought it would be a good opportunity to write this. I was one of the first 100 people in Stargate's Telegram group chat, so I've been following this project since mid-2021.

The fact that relayers and oracles have been able to collude has worried me a lot over the past years and has given me a lack of trust in the prioritization at LayerZero. What they've been saying about their architecture is almost the same as saying that something running on a single server is censorship-resistant because anyone can run the same script on their server. It is quite a surprise that no serious hack has happened yet.

A bit about the latest update from LayerZero - For me, as a true believer in decentralization, it hurts me to see Bryan Pellegrino opening up the latest update update video with, “We care deeply about permissionlessness, about censorship resistance, and about having contracts being immutable, and those used to be very popular things. They don’t seem to be that popular anymore.”

If we jump into the LayerZero V2 design, I am not sure it is any different tbh.

"With the V2 design, applications have complete control over security.

Applications may modify, combine, or remove DVNs however they deem necessary. This allows applications to improve security as new verification methods enter the market or reconfigure DVNs if risks arise."

If an application has full control over security, how is this any different from running a centralized application? How do we ensure that it is censorship-resistant? How is this any different from the earlier setup?

As a retail user, this obviously creates a lot of problems; you'll have to know the exact configuration of the dApp's security to know whether or not you can trust the dApp. And even if the initial setup looks good, you have to trust that they won't change the configuration retroactively.

With this being said. I do believe LayerZero will do well when it comes to token launch. I have been chasing the airdrop. I just think there are better technologies out there.

Cyralyst

It's been awhile since an analyst has written about LayerZero, so I'll jump in with an update since the summer. Everyone's favorite potential future airdrop and golden child of the promise of a multichain future is poised for a massive year in 2024, having laid groundwork in 2023 with the growing adoption of Stargate DEX and the Aptos bridge, while building in testnet and landing a ton of transactions from enthusiastic builders and airdrop hunters alike.

Interoperability, once a far away dream, is closer to reality than ever, and multichain anything is a huge narrative this cycle. Dubbed the TCP/IP for blockchains, Layer Zero has a head start over many other multi-chain projects that will soon fill the demand coming from the current clunky inter-chain experience. To understand how important Layer Zero can be to a future blockchain internet, read up on The Origin of TCP/IP and the Internet. Beware, however--doing so may make you so bullish on Layer Zero that your heart rate may go up.

This article, which includes a partial interview with LayerZero Labs CEO Bryan Pellegrino, gives a great overview of the project as well as insight into one of the minds guiding it. From this, I learned in 2023 LayerZero Labs raised a $120 million Series B, is valued at $3 billion, and has handled 87 million messages with 31,000 smart contracts without a single hack. Bullish!

Lastly, has nothing to do with anything but to give you an idea of how popular CEO Bryan Pellegrino is, check out how many impostors accounts are on post.tech!

It's been awhile since an analyst has written about **LayerZero**, so I'll jump in with an update since the summer. Everyone's favorite potential future airdrop and golden child of the promise of a multichain future is poised for a *massive* year in 2024, having laid groundwork in 2023 with the growing adoption of **Stargate** DEX and the **Aptos** bridge, while building in testnet and landing a ton of transactions from enthusiastic builders and airdrop hunters alike.

Interoperability, once a far away dream, is closer to reality than ever, and multichain anything is a huge narrative this cycle. Dubbed the **TCP/IP for blockchains**, Layer Zero has a head start over many other multi-chain projects that will soon fill the demand coming from the current clunky inter-chain experience. To understand how important Layer Zero can be to a future blockchain internet, read up on [**The Origin of TCP/IP and the Internet**](https://catalogimages.wiley.com/images/db/pdf/0782141013.excerpt.pdf). Beware, however--doing so may make you so bullish on Layer Zero that your heart rate may go up.

This [article, which includes a partial interview with LayerZero Labs CEO Bryan Pellegrino](https://www.notboring.co/p/layerzero-the-language-of-the-omnnichain), gives a great overview of the project as well as insight into one of the minds guiding it. From this, I learned in 2023 LayerZero Labs raised a $120 million Series B, is valued at $3 billion, and has handled 87 million messages with 31,000 smart contracts *without a single hack*. Bullish!

Lastly, has nothing to do with anything but to give you an idea of how popular CEO Bryan Pellegrino is, check out how many impostors accounts are on [post.tech](https://post.tech)!

brownalytics.eth

How does Layer Zero Blockchain function?

Layer Zero or Layer 0 blockchain operates through a blockchain development framework. This framework facilitates the creation of a peer-to-peer (P2P) communication network, forming the foundation for an initial blockchain. This blockchain can then be used to establish bridges or interoperability with other blockchains, like Bitcoin, or to create new blockchains using the same development framework, as seen in Polkadot parachains utilizing Substrate.

The P2P network handles communication between different parties, processes transactions, and validates them. Validated transactions are added to the underlying blockchain. The Zero Layer Blockchain employs a Proof of Stake (PoS) consensus mechanism, more efficient than Bitcoin and Ethereum's Proof of Work (PoW). Users validate transactions by staking tokens, with higher stakes increasing the likelihood of being selected for validation.

Utilizing fragmentation (sharding), the network is divided into smaller parts, allowing each shard to process transactions independently. This enhances the network's capacity to handle a larger volume of transactions.

Crypto Gad

"Users who use the dApps built on LayerZero may get an airdrop", at least that's what is the rumor, and you know you're in the spotlight when this rumor goes around.

We could already see the on-chain activity gather a lot of users, which made their community grow insanely!

For a highly technical solution, they sure seem to have found a balance. Investors speak of Layer Zero, there's a gold fever around the airdrop.. their marketing works.

"Users who use the dApps built on LayerZero may get an airdrop", at least that's what is the rumor, and you know you're in the spotlight when this rumor goes around.

We could already see the [on-chain activity](https://cyrator.com/post/6477dd1580e6261f414f4277?ref=644672679e5b1bc515b3ec03) gather a lot of users, which made their [community](https://cyrator.com/post/6477da698def171f2601cf53?ref=644672679e5b1bc515b3ec03) grow insanely! 

For a highly technical solution, they sure seem to have found a balance. Investors speak of Layer Zero, there's a gold fever around the airdrop.. their marketing works.

Jeroen

As the whole website screams code, so does the navigation to their media channels, which is a nice touch.

Telegram
26,494 members, 1,675 online
Nothing too special, there's a decent activity with brief announcements and questions about the project from TG-members.

Discord
262,058 members, 12,018 online
A huge number of members. They seem to have had some activities around marketing and their testnet t,o have so many people connecting to their Discord. Though, there's still significant activity going on the servers.

Twitter
352.900 Followers, 422 Tweets
A huge number of followers. Just like their Discord, this was supposed to come from testnet activities. Their old school yellow tick shines where their posts do the same with the frequent updates on their progress.

Medium
Their Medium is quite outdated, with the latest post on Nov 30, 2022. Before that, they had a great number of quality articles covering their progress.

With my findings, and an average of 60,000 views per Tweet (varies highly), it seems they are in the spotlight. Good signs, good rating. 5 stars.

As the whole website screams code, so does the navigation to their media channels, which is a nice touch.

## </A> Telegram
26,494 members, 1,675 online
Nothing too special, there's a decent activity with brief announcements and questions about the project from TG-members.

## </A> Discord
262,058 members, 12,018 online
A huge number of members. They seem to have had some activities around marketing and their testnet t,o have so many people connecting to their Discord. Though, there's still significant activity going on the servers.

## </A> Twitter
352.900 Followers, 422 Tweets
A huge number of followers. Just like their Discord, this was supposed to come from testnet activities. Their old school yellow tick shines where their posts do the same with the frequent updates on their progress.

## </A> Medium
Their Medium is quite outdated, with the latest post on Nov 30, 2022. Before that, they had a great number of quality articles covering their progress.

With my findings, and an average of 60,000 views per Tweet (varies highly), it seems they are in the spotlight. Good signs, good rating. 5 stars.

Most readers of this review are probably cryptocurrency investors who can relate to the fact that blockchain projects are expanding and operating on multiple chains. This approach allows them to reach a wider audience and they can take advantage of the unique features offered by different blockchains.

However, for these protocols to succeed, it is crucial to have reliable bridges and seamless interoperability between the chains. Without this, transferring assets, sharing data, and maintaining a consistent user experience would be challenging.

Layer Zero aims to address this need by providing the necessary infrastructure for an interoperable and omnichain crypto ecosystem. They have recognized the increasing demand for multichain protocols and the importance of bridging the gap between them.

Their technology enables projects on different chains to communicate and collaborate effectively. They offer a secure and dependable bridge that facilitates efficient asset transfers between chains. Additionally, LayerZero empowers protocols to share data and interact with one another.

So in conclusion, through LayerZero, everything becomes more connected and inclusive. I believe many will benefit from the interoperability that they will provide.

DUMMY PROOF EXPLANATION INCLUDED!

The technology of Layer Zero enables multiple blockchains to communicate cross-chain and share information easily, just like I will do with this review.

Their interoperability protocol makes it easier for different blockchain networks to connect with each other. Without going too deep to not loose your attention, it is a smart way of cross-chain communication. Think about enabling: swaps, transfers, borrowing (supply liquidity), and more across different blockchains. An idea comes up that if one is capable of monitoring various lending pools across different chains, it will help users seek the best rates.

Nice 'n Easy
Imagine Mohamed wants to borrow USDC on Avalanche using his WBTC on Ethereum. He uses LayerZero, which connects the two blockchains. LayerZero has an Oracle and a Relayer. The Oracle verifies the transaction details and the Relayer independently generates a proof. If both match, the transaction is considered valid. Once confirmed, the transaction is completed on Avalanche, and Mohamed receives the borrowed USDC. Friends of Mohamed do have some concerns about the security if the Oracle and Relayer collude though.

Conclusion
As more protocols operate across different blockchains, it becomes crucial to have reliable bridges and interoperability between those chains. It seems LayerZero understands this need and actively supports and provides the necessary infrastructure. I give 4 stars because of the security part under "nice 'n easy".

## DUMMY PROOF EXPLANATION INCLUDED!

The technology of Layer Zero enables multiple blockchains to communicate cross-chain and share information easily, just like I will do with this review.

Their interoperability protocol makes it easier for different blockchain networks to connect with each other. Without going too deep to not loose your attention, it is a smart way of cross-chain communication. Think about enabling: swaps, transfers, borrowing (supply liquidity), and more across different blockchains. An idea comes up that if one is capable of monitoring various lending pools across different chains, it will help users seek the best rates.

## Nice 'n Easy
Imagine Mohamed wants to borrow USDC on Avalanche using his WBTC on Ethereum. He uses LayerZero, which connects the two blockchains. LayerZero has an Oracle and a Relayer. The Oracle verifies the transaction details and the Relayer independently generates a proof. If both match, the transaction is considered valid. Once confirmed, the transaction is completed on Avalanche, and Mohamed receives the borrowed USDC. Friends of Mohamed do have some concerns about the security if the Oracle and Relayer collude though.

Conclusion
As more protocols operate across different blockchains, it becomes crucial to have reliable bridges and interoperability between those chains. It seems LayerZero understands this need and actively supports and provides the necessary infrastructure. I give 4 stars because of the security part under "nice 'n easy".

According to Treacy and Wiersema, their team cannot choose between operational excellence and customer intimacy, so they focus on both aspects, lol.

The team strives to offer innovative solutions and push boundaries by excelling in quality.

Head of the Team: Bryan Pellegrino, Ryan Zarick, and Caleb Banister.

I see their main goals as a positive characteristic, as it shows a commitment to staying ahead in a competitive market.

An elegant concept that entirely redefines the competitive landscape in the Layer O(L0) solution market, opening up new horizons for blockchain interoperability. The issue of transferring tokens from one network to another is a question that requires deep understanding and a comprehensive approach, and I strongly recommend taking a look at Bob GG post where he illustrates this issue from the perspective of an average user.

The main challenge is how to maintain decentralization and security while transferring funds from one blockchain to another, all the while minimizing the number of steps required for both projects and users. Centralized bridges serve as a temporary solution, but they have repeatedly undermined user trust due to numerous hacks.

Some market projects, such as Cosmos, Polkadot, and Avalanche, are trying to address this problem at the protocol level. Their proposal, in a nutshell, sounds like this: "Let's create all blockchains in a way that they can initially communicate with each other (transfer tokens and messages) using a certain bridge (another blockchain, so-called L0), which in turn will also be a blockchain with its validators, etc." However, this approach has a major downside - the need to persuade other blockchains to build on top of your LO from the start, and also, you can't integrate other blockchains without serious changes at their protocol levels.

LayerZero has revolutionized this field with its solution. Now, for the interoperability of blockchains that were initially incompatible, no changes at the protocol level are needed. Blockchains are connected via special nodes - deployed smart contracts in associated blockchains. LayerZero has no validators or its own blockchain. Security is ensured through a two-tier message transfer verification system using a receiver and an oracle.

Here's how it works:

1)The user sends their transaction in the Ethereum network with a request to transfer tokens to them in the Avalanche network.
2)The oracle (currently, LayerZero uses the Chainlink oracle network) transfers the header of this message to the Avalanche network.
3)The receiver transfers the hash of this message to the Avalanche network, and if it matches the header transferred by the oracle, the transaction is considered valid.

This approach spares these nodes from the need, as in other LO solutions, to store data on all blocks and continually validate them.

This simple solution maintains security and decentralization while allowing any network to easily connect to the LayerZero network. For the average user, this means getting the most convenient, simple, and affordable way to transfer their tokens from one network to another.

With such an elegant solution, it is possible to create a host of applications with cross-liquidity, such as decentralized exchanges (DEX), lending platforms, and more.

Karlos

Funding progress
Let me take you back to the year 2021, where a group of visionaries, Bryan Pellegrino, Ryan Zarick, and Caleb Banister, founded Layer Zero. Now, fast forward to today, and this company has soared to new heights, securing a staggering $120 million in Series B financing. With such a significant investment, Layer Zero carries a valuation of an astonishing $3 billion. It's clear that their innovative ideas and strategic approach have caught the attention of investors, propelling them towards success.

But that's not all. In March 2022, LayerZero Labs continued to captivate the investment world, raising an additional $135 million in a Series B funding round. Renowned investors, including FTX Ventures, Coinbase Ventures, Uniswap Labs, Sequoia Capital, a16z, and even PayPal Ventures, eagerly joined in to support this groundbreaking venture. Yes, you heard it right—PayPal, the fintech giant, has shown its trust and faith in Layer Zero, making a bold move into the web3 space through this investment. It's a testament to the potential they see in this promising project.

Possible airdrop
Since the ARB airdrop, there's a gold fever going around. During my research I stumbled on some signs that there might be a airdrop for ZRO. As always, DYOR.

Here are some steps to consider:

Stake and vote for $STG on Stargate Finance.
Interact with the Stargate Bridge on LayerZero.
Use the USDC LayerZero Bridge.
Use the Aptos Bridge.
Use the LiquidSwap Bridge.
Use the SushiSwap Cross-Chain Swap.
Use the BitcoinBridge.
Engage with other dApps on LayerZero.
Get roles within the Stargate Guild.

For a detailed explanation, go to the full article here

## Funding progress
Let me take you back to the year 2021, where a group of visionaries, Bryan Pellegrino, Ryan Zarick, and Caleb Banister, founded Layer Zero. Now, fast forward to today, and this company has soared to new heights, securing a staggering $120 million in Series B financing. With such a significant investment, Layer Zero carries a valuation of an astonishing $3 billion. It's clear that their innovative ideas and strategic approach have caught the attention of investors, propelling them towards success.

But that's not all. In March 2022, LayerZero Labs continued to captivate the investment world, raising an additional $135 million in a Series B funding round. Renowned investors, including FTX Ventures, Coinbase Ventures, Uniswap Labs, Sequoia Capital, a16z, and even PayPal Ventures, eagerly joined in to support this groundbreaking venture. Yes, you heard it right—PayPal, the fintech giant, has shown its trust and faith in Layer Zero, making a bold move into the web3 space through this investment. It's a testament to the potential they see in this promising project.

## Possible airdrop
Since the ARB airdrop, there's a gold fever going around. During my research I stumbled on some signs that there might be a airdrop for ZRO. As always, DYOR.

Here are some steps to consider:

1. Stake and vote for $STG on Stargate Finance.
2. Interact with the Stargate Bridge on LayerZero.
3. Use the USDC LayerZero Bridge.
4. Use the Aptos Bridge.
5. Use the LiquidSwap Bridge.
6. Use the SushiSwap Cross-Chain Swap.
7. Use the BitcoinBridge.
8. Engage with other dApps on LayerZero.
9. Get roles within the Stargate Guild.

For a detailed explanation, go to the [full article here](https://boxmining.com/layerzero-token/)

Creating light way communication between different blockchains.

By deploying small smart contracts (cost efficient) on each blockchain you open up communication between them.
Each application deploys their own smart contracts so communication with the other chain is direct and aimed for a specific application. You can host your own relayer between these networks and use Chainlink as Oracle to verify.

From what i understand your basically creating a API connection on-chain for you to use on the other chain in a very simple format. I think that is pretty cool!

I think there is a need for real solutions and cross-chain communication is a major issue and this protocol gives you a solution to that problem. But because every project needs to deploy their own smart contracts it only opens up this oppertunity if the dApp wants/needs it.

Creating light way communication between different blockchains. 

By deploying small smart contracts (cost efficient) on each blockchain you open up communication between them. 
Each application deploys their own smart contracts so communication with the other chain is direct and aimed for a specific application. You can host your own relayer between these networks and use Chainlink as Oracle to verify. 

From what i understand your basically creating a API connection on-chain for you to use on the other chain in a very simple format. I think that is pretty cool!

I think there is a need for real solutions and cross-chain communication is a major issue and this protocol gives you a solution to that problem. But because every project needs to deploy their own smart contracts it only opens up this oppertunity if the dApp wants/needs it.

Layer Zero ZRO

Omnichain interoperability protocol