LayerZero Foundation, which supports the cross-blockchain messaging protocol, has made a $110 million offer for the crypto protocol Stargate, integrating both projects.
Acquisition Plan for Stargate
LayerZero outlined its proposal on Stargate’s forum, stating it aims to accelerate Stargate’s development by providing resources to implement an aggressive roadmap.
The plan suggests that the Stargate Finance token (STG) would be swapped for LayerZero's token (ZRO) at a rate of 1 STG for 0.08634 ZRO.
Response to the Proposal
Following the announcement, both platforms' tokens experienced significant gains. LayerZero’s token rose over 23% in the last 24 hours, while Stargate’s token increased by 16.5%. Despite this, both tokens have fallen significantly from their all-time highs.
Stargate Tokenholders' Opinions
The proposal received predominantly negative feedback from Stargate token holders. Some users commented that the swap to ZRO offers no advantages to STG holders, highlighting the need for LayerZero to improve the terms of the offer.
LayerZero's acquisition proposal for Stargate has sparked an ongoing discussion among token holders, raising important questions about the future and value of both projects.
