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Community Backs Wormhole and Axelar as Alternatives to LayerZero’s Unauthorized Lido stETH Bridge

Blockchain protocols often promote their “permissionlessness,” emphasizing the ability for anyone to build on their platforms without seeking explicit approval. However, recent events have called this principle into question. Last October, LayerZero launched a Lido stETH bridge without seeking permission from Lido DAO, which manages the stETH protocol. This move has sparked a response from the community, as they have now endorsed rival platforms Wormhole and Axelar for crypto bridging.

The concept of permissionlessness in blockchain is rooted in the decentralized nature of these protocols. It is a key factor that has attracted many businesses, techpreneurs, and thought leaders to the industry. The ability to freely innovate and build on existing protocols without seeking permission from central authorities has been a driving force for blockchain’s growth and potential. However, the recent incident involving LayerZero and Lido DAO raises questions about the practical implementation of permissionlessness.

LayerZero’s decision to launch the Lido stETH bridge without consulting Lido DAO has ignited a debate within the community. Some argue that LayerZero’s actions go against the principles of permissionlessness, as they essentially bypassed the governance process of Lido DAO. Others believe that permissionlessness should not be an absolute principle, and that there should be some level of cooperation and coordination between different entities within the blockchain ecosystem.

To address the situation, the community has shown support for rival platforms Wormhole and Axelar. These platforms have gained favor due to their collaborative approach and emphasis on seeking permission and cooperation with existing protocols. The endorsement of Wormhole and Axelar highlights a shift towards a more nuanced understanding of permissionlessness within the blockchain industry.

While the incident between LayerZero and Lido DAO may have sparked controversy, it has also provided an opportunity for the community to reflect on the ideals and practicalities of permissionlessness. It is clear that a balance needs to be struck between innovation and collaboration within the blockchain ecosystem. As the industry continues to evolve, it is crucial for all stakeholders to engage in meaningful dialogue and work towards a consensus on how to navigate the complexities of permissionlessness.

In conclusion, the recent endorsement of Wormhole and Axelar by the community in response to LayerZero’s actions highlights the ongoing debate surrounding permissionlessness in blockchain protocols. While the concept of permissionlessness remains a fundamental principle in the industry, the incident has prompted a reassessment of how it should be implemented in practice. Moving forward, it is essential for stakeholders to find a balance between innovation and cooperation to ensure the continued growth and success of the blockchain ecosystem.

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