LayerZero asks eligible users to pay 10 cents per ZRO to claim airdrop, plans to raise $18.5 million donation for Protocol Guild

Cross-chain interoperability protocol LayerZero is asking eligible users to pay for ZRO airdrop claims via a new mechanism called “Proof-of-Donation.”

To claim ZRO, users must donate $0.10 in USDC, USDT, or native ETH per ZRO, according to a post from the LayerZero Foundation. Claims are open from June 20 to Sept. 20.

The funds generated will go directly to Protocol Guild, with the foundation matching all donations up to $10 million to support its goals of equitable distribution, community building, and protocol health.

Protocol Guild is a non-profit funding collective for Ethereum core researchers and developers, with the mechanism resulting in up to $18.5 million in donations overall, according to the LayerZero Foundation. Donations received by Protocol Guild will be vested over four years.

“Protocol Guild and Ethereum's core developers have been fundamental to LayerZero's growth, driving the proliferation of the EVM, Ethereum's L2-centric roadmap, and the broader crypto ecosystem,” the LayerZero Foundation said. “By donating to Protocol Guild, eligible recipients show long-term alignment with the LayerZero protocol and a commitment to the future of crypto.”

However, the move has not been well received by some in the crypto community. Banteg, a pseudonymous core contributor to Yearn Finance, commented that "mandatory donations sound more like a glorified ICO" (initial coin offering). "Stop bulk funding Protocol Guild, it's been wildly successful at attracting funds, find other smaller initiatives to support," Banteg added. Other comments on social media also appear to be largely unwelcoming of LayerZero’s decision to mandate that users pay for an airdrop — typically intended as a reward for user contributions and to decentralize the protocol.

LayerZero Foundation opens airdrop claims

The LayerZero Foundation opened claims for the airdrop of LayerZero’s native ZRO token at 7 a.m. ET today, following the release of an eligibility checker on Wednesday.

Some 85 million ZRO tokens, 8.5% of the total 1 billion supply, are claimable by eligible participants. 38.3% of the supply is allocated to the community overall, with 15.3% of that reserved for future distribution programs and 14.5% for ecosystem growth.

A further 32.2% of the total token supply is allocated to strategic partners and 25.5% to its core contributors, both subject to a three-year vesting period with a one-year lock and a monthly unlock over the following two years.

The remaining 4% of ZRO has been repurchased by developer LayerZero Labs and is “pledged to the community bucket,” the foundation said in an earlier post on Thursday.

LayerZero Labs CEO Bryan Pellegrino said yesterday that he identified a total of 1.28 million wallets eligible for airdrop claims. Meanwhile, over six million unique wallet addresses have interacted with the LayerZero protocol.