LayerZero Labs Takes Stand Against Sybil Farmers Ahead of Anticipated Airdrop
- LayerZero Labs, a leading cross-chain interoperability protocol, has pledged to address the issue of sybil farming before its upcoming airdrop.
- The project plans to conduct an internal investigation to identify and exclude sybil farmers from its future token generation event.
- LayerZero Labs also plans to launch a reward program, offering a 10% bonus of the intended token allocation to bounty hunters who identify additional sybil users.
LayerZero Labs is taking a proactive stance against sybil farming, aiming to ensure a fair token distribution for genuine users in its upcoming airdrop.
LayerZero Labs’ Commitment to Genuine Users
Sybil farming is a practice where a single user creates multiple wallets to generate significant activity on a network or protocol, maximizing their airdrop benefits. LayerZero Labs has expressed its intention to distribute tokens to genuine and long-term users rather than sybil farmers. The protocol has seen interaction from nearly 6 million unique wallet addresses since its launch two years ago. The team believes excluding sybil farmers from the airdrop is crucial for a fair token distribution.
Previous Instances of Sybil Farming in Crypto Space
Sybil farming is not a new phenomenon in the crypto space. In 2022, Optimism disqualified over 17,000 suspected wallets engaged in sybil activity from its airdrop. Similarly, ZkSync Era discovered 21,877 wallets involved in sybil farming activities in September. LayerZero Labs has identified several on-chain activities that may lead to exclusion from the airdrop, including “industrial farming” through multiple wallets, minting “valueless” NFTs for transferring across networks, and interacting with known sybil farming applications.
Self-Reporting by Sybil Farmers Encouraged
LayerZero Labs encourages sybil farmers to self-report through signed on-chain messaging until May 18, offering them a chance to receive 15% of their intended airdrop allocation. The project also plans to provide an API for industrial farmers to self-report. However, airdrop eligibility will be subject to “legal or geographic requirements”, implying that sybil farmers from countries with regulatory risks may have little to gain from self-reporting.
Conclusion
LayerZero Labs has taken a firm stance against sybil farming, aiming to ensure a fair distribution of tokens in its upcoming airdrop. The project’s commitment to genuine users and its proactive measures against sybil farming are commendable. The anticipation for the ZRO token launch is already high, with a perpetual futures contract for ZRO currently trading at $8.4 on Hyperliquid, suggesting a fully diluted valuation of approximately $17 billion for the forthcoming token.
