// GLOSSARY -- WEB3 INFRASTRUCTURE

What is LayerZero?

1 min read Updated

LayerZero is an omnichain interoperability protocol enabling cross-chain messaging and token transfers between 50+ blockchains — using a modular security model where applications choose their own verification methods.

WHY IT MATTERS

LayerZero's key differentiator is its modular security. Instead of a fixed validator set, applications using LayerZero choose their own 'Decentralized Verifier Networks' (DVNs) — selecting the security model that fits their risk tolerance.

This flexibility enables: Omnichain Fungible Tokens (OFTs) that exist natively on multiple chains, cross-chain governance, and multi-chain application deployment with unified state.

LayerZero supports the broadest chain coverage of any messaging protocol — 50+ chains including most major L1s and L2s. The ZRO governance token was distributed via airdrop in 2024.

FREQUENTLY ASKED QUESTIONS

How does LayerZero's security work?
Applications select DVNs (Decentralized Verifier Networks) to validate cross-chain messages. Options include Chainlink, Google Cloud, and others. The application controls its security model.
What are OFTs?
Omnichain Fungible Tokens — tokens that exist natively on multiple chains through LayerZero. Instead of wrapped/bridged versions, OFTs burn on source and mint on destination, maintaining a unified supply.
LayerZero vs CCIP?
LayerZero: broader chain coverage, modular security, more DeFi-native. CCIP: Chainlink's oracle network security, more enterprise-focused, risk management network. Both are major players.

FURTHER READING

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