Lido DAO Votes Down LayerZero's Unauthorized stETH Bridge, Opts for More Decentralized Wormhole and Axelar Partnership
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LayerZero built a crypto bridge for Lido's stETH token without Lido DAO approval, angering community members who felt disrespected.
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Cross-chain interoperability is a hot area with an intense turf battle between bridge protocols vying to partner with top DeFi protocols.
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This week, 81% of Lido DAO votes favored rivals Wormhole and Axelar over LayerZero to be the official stETH bridge.
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Competitors designed their proposal to prevent vendor lock-in and expand to other bridges in the future.
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The vote was seen as upholding the decentralization principles of letting token holders decide what's best for the protocol.