The Wormhole Foundation plans to submit a higher bid for the acquisition of Stargate after LayerZero's $110 million proposal. This development raises questions about the current valuation and future of the project.
LayerZero's Proposal
LayerZero has submitted a $110 million proposal to acquire the Stargate ecosystem. Under the plan, all tokens will be converted to ZRO, and Stargate, which has generated about $1 million in revenue over the last three months, will be used for LayerZero token buybacks.
Wormhole's Strategy
The Wormhole Foundation has submitted a competitive bid, asserting that Stargate owners deserve a more competitive process. Wormhole has requested a pause in community voting for seven days to reassess Stargate's true value.
Future of Stargate
According to LayerZero's proposal, all STG tokens in circulation (including staking and voting rights) will be exchanged at a rate of 1 STG = 0.08634 ZRO. This translates to $0.1675 for STG and $1.94 for ZRO. Furthermore, the Stargate DAO is expected to be dissolved.
The ongoing situation raises significant questions about the future of Stargate and its valuation amid competition between Wormhole and LayerZero.
