Voting for the proposal to use $ZRO as a fee will start at 07:00 on December 20, 2024, and end at 07:00 on December 27. Only new ZRO holders will be able to vote. If the proposal is approved, the fees collected from the protocol will be used to buy back ZRO and burn it.

LayerZero is expected to hold a governance vote on December 19 to decide on the activation of the fee collection mechanism. If approved by the community, this proposed mechanism will allow fees to be collected through a designated financial contract. These fees will then be burned on the corresponding local chains, thereby reducing the token supply and potentially creating deflationary pressure.
This proposal aligns with the general trend in blockchain governance, implementing mechanisms to increase token value through reducing circulating supply, similar to Ethereum's EIP-1559 model or other token burning strategies. The effectiveness of this mechanism will depend on network activity levels and the amount of fees generated.
$ZRO