LayerZero’s $110M acquisition proposal to dissolve Stargate DAO through a fixed token swap aims to streamline governance, though mixed reactions arise over token valuation and staking reward eliminations.
The LayerZero Foundation proposed a $110M acquisition move on the Stargate cross-chain bridge, planning to dissolve the Stargate DAO and swap STG tokens for ZRO at a fixed rate of 1:0.08634. The announcement sparked strong market moves with ZRO up 26% to $2.30 and STG rising over 20%, while requiring a 70% supermajority vote, amid criticisms over undervaluation and loss of staking rewards.