Author: TPan Source: substack Translation: Shanolba, Golden Finance

Last week, I saw a post from LayerZero announcing that the unclaimed Tokens from their first Airdrop will be redistributed to eligible Wallets. As a lucky recipient of the first Airdrop a few months ago, I wonder... Will I be a lucky recipient of the redistribution?

But one keyword caught my attention:

What is LayerZero? How is their TGE progressing?

LayerZero is a Cross-Chain Interaction protocol that enables different blockchains to interact and communicate with each other. Some applications of this protocol:

• Stargate: Allows users to cross different blockchain bridges, which has historically been a painful and complex process
• OFT (Omnichain Fungible Token) Standard: A Smart Contract that allows the creation and tracking of Tokens on different on-chain Blocks. Recently, BitGo adopted the OFT Standard, allowing WBTC (Wrapped Bitcoin) to be used on more than 80 on-chain Blocks.
• ONon-fungible Token (全链非同质化Token) standard: Similar to the OFT standard, Non-fungible Token can also have Cross-Chain Interaction, and Pudgy Penguins are early adopters of this feature.

After a long period of anti-witch attack activities (including self-reporting and bounty hunter activities, which is another topic for another day), LayerZero conducted their TGE event on June 20th.

LayerZero Token (ZRO) has a supply of 10 billion, as follows:

• 38.3% allocated to the LayerZero community, including allocation to users, developers, and community members
• 32.2% is allocated to strategic partners, with a lock-up period of 3 years, including investors and advisors.
• 25.5% is allocated to core contributors with a vesting period of 3 years, including existing and future team members
• 4.0% Token repurchase, committed to giving back to the community

In the 38.3% community reserve, 8.5% (85 million) of the supply is allocated to the TGE event, and the 90-day claim window will end on September 20th.

The second reassignment of claims

After the initial claims period ended, LayerZero began redistributing claims. How does it work?

Reallocate Qualifications

• Not qualified: Wallet that has claimed ZRO but has no qualifying transaction after TGE
• Eligibility: Have claimed ZRO at least once after TGE and used LayerZero Wallet

Allocation of eligible Wallet

• Wallets that meet the requirements will receive ZRO shares based on their original claim ratio in the TGE.
• After TGE, the Tokens in the Wallet with zero volume (i.e., disqualified Wallet) will be reallocated to the qualified Wallets based on the gas consumption of each user since TGE.

Any tokens not claimed after 30 days will be transferred to the LayerZero Foundation, and I assume these tokens will be reallocated to the community for future incentives.

Essentially, the second proposition contains two parts:

Why is this interesting?

For many projects and ecosystems, the struggle for user attention and retention has expanded to other aspects. When there are millions of other shiny things available on the market, how do you encourage users to continue using your product and stay in your ecosystem? Incentives are key, but carefully allocating incentives is the key, and I think LayerZero has done relatively well in this regard.

The publicity for the second application is far less than that of the first application. Users who applied for the first time may have spent several months or even years. In addition, this application is a redistribution of the initial allocation, allowing the unclaimed portion to be reused for active communities.

It's like robbing Peter to pay Paul, but Peter has been notified multiple times and given 90 days to file a claim, but he is nowhere to be found.

So far, about 5 million additional ZRO out of the 85 million airdrops have been claimed, with a few more weeks remaining.

This concept exists in various forms outside the field of Crypto Assets:

• In games like Clash of Clans, players can attack other bases and seize their unclaimed resources. If you fail to collect resources in time, you will eventually be attacked and your resources will be "redistributed".
• Some class action settlements are distributed by equal allocation of the total settlement amount: the settlement funds are distributed equally among the valid claimants. If you do not submit a claim, you will not receive a share of the settlement funds.
• Lottery plan income will be used to support public undertakings such as education and healthcare. In certain jurisdictions, unclaimed prizes will also be used to support these public undertakings.

In the above example and LayerZero's claim, redistribution is often a reward, not a punishment. The claims window lasts for months, and for Clash of Clans, the loss of resources is more of a minor obstacle than a substantial one.

I am not surprised that we will see creatively redesigned concepts of redistribution in various on-chain incentives, participation, and loyalty programs in the future.

With the help of smart contracts, its application methods may be more interesting than what we see today.