• Stargate, the LayerZero cross-chain bridge protocol, has proposed a comprehensive risk mitigation plan to address recent force majeure incidents and stability concerns surrounding anyUSDC.
• This includes temporarily suspending emissions on the Fantom pools and isolating them from other pools in the network.
• So far, 1.7 million members of the Stargate community have voted in favour of the proposal to mitigate potential disruptions arising from Multichain uncertainties.
Stargate Introduces Proposal to Mitigate Risk
Stargate, the LayerZero cross-chain bridge protocol, has responded to recent “force majeure” incidents impacting Multichain and stability concerns surrounding anyUSDC by proposing a comprehensive risk mitigation plan. A single-choice voting system was initiated for this purpose with 1.7 million verified members of the Stargate community voting in favor of it so far.
Initial Step Involves Halting STG Emissions on Fantom Pools
The initial step involves stopping STG emission on Fantom pools as a temporary measure to mitigate potential disruptions caused by uncertainties associated with Multichain. Emission is the speed at which new coins are created and released into circulation.
Pools Isolated from Other Pools Within Network
To protect the ecosystem further, Stargate intends to isolate these fantom pools from all others within its network so as to prevent any negative impacts on its broader ecosystem. Currently, deposited liquidity provider (LP) amounts to approximately $11.4 million within these pools that are now effectively segregated from other pools within Stargate’s network.
Exploring Alternative Bridging Options for Fantom Users
In order to enhance protection of its ecosystem and address potential USDC related issues on Fantom, Stargate proposes removing and unwinding anyUSDC POL through Multichain alongside exploring alternative bridging options such as potentially utilizing Hydra for users on Fantom network.
Whitelisting Current LPs for Seamless Transition
To ensure a seamless transition for liquidy providers (LPs), whitelisting existing LPs will be undertaken by Stargate so they can redeem their LP tokens onto alternative chains when necessary