Law & Policy

What do people think about LayerZero’s controversial Proof of Donation requirement?

Will this attract some regulatory heat? Or is it so obviously beneficial that enforcement action wouldn’t align with policy goals even if it’s blatantly unlawful?

What do people think about LayerZero’s controversial Proof of Donation requirement?

Will this attract some regulatory heat? Or is it so obviously beneficial that enforcement action wouldn’t align with policy goals even if it’s blatantly unlawful?

https://x.com/iamjackgale/status/1803774650100375915?s=46&t=liyIrwhTwJHsKt6kHxGxyg

Core Contributor at @beefy | Solicitor at Walker Morris | Commercial, Competition & Technology Law

My concern: https://x.com/iamjackgale/status/1803781114810576912?s=46&t=liyIrwhTwJHsKt6kHxGxyg

The LZ reaction: https://x.com/primordialaa/status/1803778350566998378?s=46&t=liyIrwhTwJHsKt6kHxGxyg

Policy Communications at Consensys; Ex-Circle Strategy, Crypto Startup Advisor. Snibbmaster.base.eth

They just released it! 

The team gave really little information about the token or claiming process, even at the point of claiming. And then this feature took a lot of people by surprise. 

AFAIK it's never been done before for a major airdrop.

Is this something they just released or did they tell people it was happening beforehand?

I’m no securities lawyer so it’s just a guess, but I wonder if the fact that it’s a donation to another entity, and not Layer Zero, negates some of the risk.