Wormhole Counters LayerZero’s $110M Stargate Offer, Seeks Governance Vote Delay
LayerZero’s $110 million token-swap bid to acquire Stargate faces new competition as Wormhole submits a higher offer and requests postponement of Stargate’s governance vote.
Wormhole is pushing for a delay of the Snapshot vote, aiming to give the community more time to evaluate its superior proposal.
Stargate’s appeal is clear: the bridge processed $4 billion in July, holds $345 million in total value locked (TVL), and manages a treasury of $92 million in stablecoins and ether, plus $55 million in STG and other assets. The protocol generates around $2 million in annual revenue.
“Our initial review indicates STG holders deserve a more competitive sale process, and we are prepared to submit a substantially higher bid,” Wormhole said in its proposal.
LayerZero’s offer, which includes transferring the treasury and future income streams, has drawn criticism for undervaluing the project. Wormhole argues that “STG holders deserve better” terms.
A Wormhole-Stargate merger would create one of crypto’s largest cross-chain liquidity hubs, combining Stargate’s unified liquidity pools with Wormhole’s wide network integrations. The Wormhole Foundation believes this partnership would drive increased volume and long-term ecosystem strength.
“We see significant untapped value in Stargate’s brand, protocol, and assets,” the proposal states. “A successful integration with Wormhole will maximize value for current and future holders of both STG and Wormhole tokens.”
To ensure a fair review, Wormhole has formally requested a five-day extension of the governance vote.
