Coming soon, what is a fair price for LayerZero (ZRO)?

Written by: Axel Bitblaze

Compiled by: Alex Liu, Foresight News

Let’s talk about what you are most concerned about right now. At what price will ZRO enter the market, and how much will your ZRO airdrop allocation be worth? Here are my thoughts on LayerZero’s airdrop allocation, price predictions, and listing plans.

Airdrop Distribution:

I agree with most of the criticism that the airdrop model is poorly executed. Many people have worked hard for a whole year to get 200-300 tokens. In my opinion, they (LayerZero) should allocate to the core again (the allocation obtained by using the LayerZero underlying protocol is different from the RFP allocation obtained by using the LayerZero upper layer application) ), things will get better. But regardless, our core allocation may still increase because not all witches have been removed and those shares will be redistributed to people. Considering the number of witches captured by LayerZero, the core allocation is likely to increase significantly.

LayerZero CEO 表示女巫尚未被完全移除，将回收这部分代币分配

Price prediction:

First of all, in order to predict the price of ZRO when it is launched, we need to find the following data: Expected FDV (Full Release of Value), Generation Total coin supply. The price of ZRO at launch can then be calculated by: FDV / Total Supply.

• Total supply

As confirmed by LayerZero CEO Bryan, the total token supply is 1 billion.

LayerZero CEO 确认代币总量为 10 亿枚

• FDV

How to estimate FDV? My common approach when estimating FDV at launch is to look at the FDV of recent projects with similar financing and competitors. To do this, I'm going to consider what happens when STRK and W come online.

In fact, the FDV at launch also depends largely on the funds raised by the project and the valuation when the funds were raised. In my ZK price prediction thread, I made the mistake of not taking into account its valuation when it raised money because it was not disclosed, and I summarized how it affected my calculations in a post.

So, why STRK and W? Predicting prices takes into account the FDV of recently launched projects, the amount raised, and the valuation at the time of financing. And the valuations of both tokens at the time of funding are public, which is why I want to compare STRK and W to help us predict ZRO’s FDV.

Compare to recent projects:

STRK:

• Raised: $282 million
• Valuation : US$8 billion
• Online FDV: US$28 billion

W:

• Raised: US$225 million
• Valuation: US$2.5 billion
• Online FDV: US$17 billion

ZRO:

• Raised: US$263 million
• Valuation: 30 Billions of dollars
• is listed on FDV: Let’s find out

It is clear from the above:

• STRK’s FDV is its valuation 3.5 times.
• W’s offering price is 6.5 times its valuation.

Given how bad the market conditions are, I think it is reasonable to expect ZRO to be valued at at least 2-3x the $3B valuation, which would mean $6B ~ $9B FDV.

price? FDV/ TOTAL SUPPLY . Total ZRO supply: 1B. So $ZRO:

• $6B FDV = $6
• $7B FDV = $7
• $8B FDV = $8
• $9B FDV = $9

My plan:

I think LayerZero will definitely continue to exist. Unlike L1 and L2 chains that need to actively attract people to participate, LayerZero is more of an infrastructure project that will be used as a cross-chain layer by almost all existing and upcoming projects.

This means that even if users are not consciously using LayerZero technology, they are still exposed to it because it is integrated into many projects. It's different from L1 and L2, where you have to convince people to actually use your chain. Hope that makes sense haha.

My target FDV and target price:

• $5B FDV or below: I would buy more
• I would consider stopping around $8B FDV Profit
• I would sell between $15B and $20B FDV outright

In terms of price:

• $5 or less: Buy
• Take Partial Profit at $8
• Sell Fully Between $15 and $20

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