Okay, so ltn12ce v0.2 will drop LZO support (it is not a stream compressor any way) and replace PolarSSL with Crypto++.
I've reconsidered the FOSS exception of PolarSSL and decided to drop just LZO (it was a long way from being adapted into a stream compressor anyway). I've just pushed v0.2 and re-licensed to MIT/X11. Happy hacking :)