What is LayerZero?

LayerZero is an interoperability protocol designed to enable communication between different blockchain networks. It allows smart contracts on one network to send messages and interact with contracts on another without relying on centralized intermediaries. The protocol provides a standardized messaging layer that supports cross-chain applications, sometimes referred to as "omnichain" applications. LayerZero is used across a range of use cases, including DeFi, gaming, and cross-chain asset transfers.

What is ZRO?

The native token of the protocol is ZRO, which operates on the Ethereum network and is used for governance and protocol-related fee mechanisms. ZRO may be used to participate in governance decisions, such as protocol upgrades and parameter changes. The token is also associated with fee generation within the ecosystem. The token has a total supply of 1 billion units, with approximately 313.5 million ZRO currently in circulation at the time of this publication.

Risk Statement

Before trading any crypto assets it is important to understand the risks. This overview is a starting point for you to perform your own research prior to investing in a crypto asset.

No securities regulatory authority or regulator in Canada has evaluated or endorsed the Crypto Contracts or any of the crypto assets made available through the platform.

Wealthsimple has performed an assessment of whether ZRO can be supported by Wealthsimple's platform, including whether ZRO is a security and/or a derivative and is being offered in compliance with securities and derivatives laws.

We evaluated ZRO based on publicly available information, including (but not limited to):

• The creation, governance, usage and design of ZRO, including the source code, security and roadmap for growth in the developer community and, if applicable, the background of the developer(s) that first created ZRO;
• The supply, demand, maturity, utility and liquidity of ZRO;
• Material technical risks associated with ZRO, including any code defects, security breaches and other threats concerning ZRO and its supporting blockchain (such as the susceptibility to hacking and impact of forking), or the practices and protocols that apply to them;
• Legal and regulatory risks associated with ZRO, including any pending, potential, or prior civil, regulatory, criminal, or enforcement action relating to the issuance, distribution, or use of ZRO; and
• Statements made by regulators or securities regulatory authorities in Canada and other jurisdictions regarding whether ZRO, or generally about whether the type of crypto asset, is a security and/or a derivative.

Wealthsimple monitors ongoing developments related to crypto assets available on its platform for significant changes that may affect Wealthsimple's original assessment of those assets, including Wealthsimple's assessment of the application of securities and derivatives laws. Any significant changes relating to ZRO may result in changes to this Crypto Asset Statement and/or Wealthsimple's ability to support ZRO.

Like all other crypto assets, there are some general risks to investing in ZRO. These include short history risk, volatility risk, liquidity risk, demand risk, forking risk, cryptography risk, regulatory risk, concentration risk, electronic trading risk and cyber security risk. Please review the Wealthsimple Crypto Product Risk Disclosure for additional discussion of general risks associated with the crypto assets made available through the platform.

We emphasize that this Crypto Asset Statement is not exhaustive of all risks associated with trading ZRO. Investors should perform their own assessment to determine the appropriate level of risk for their personal circumstances.

Wealthsimple is offering Crypto Contracts in reliance on a prospectus exemption contained in the exemptive relief decision Re Wealthsimple Investments Inc. dated December 18, 2023 (the Decision).

The statutory rights of action for damages and rescission in section 130.1 of the Securities Act (Ontario), and, if applicable, similar statutory rights under securities legislation of other jurisdictions of Canada, do not apply in respect of this Crypto Asset Statement to the extent a Crypto Contract is distributed under the prospectus relief in the Decision.

Last Updated: May 11, 2026