zkSync Plans Governance Token Airdrop

zkSync, a zero-knowledge (ZK) roll-up technology project, has announced its governance token airdrop scheduled for the end of June. The excitement over this airdrop has been building up since March of last year when investors moved over $8 million worth of tokens to zkSync to be eligible. As per DefiLlama, the total value locked (TVL) in zkSync has risen to $141 million.

The forthcoming release of version 24 (v24) is the last protocol upgrade required for transferring network governance to the community. zkSync posted on X:

“The upcoming release of v24 is the final planned protocol upgrade needed before handing over network governance to the community. The remaining missing pieces are expected to be in place by the end of June.”

zkSync firmly stands by its commitment to decentralize.

Since rolling out support for EIP4844 in March, this has been the sole focus. The upcoming release of v24 is the final planned protocol upgrade needed before handing over network governance to the community. The remaining…

— ZKsync (@zksync) May 17, 2024

Also Read: Chronicle Oracles Arrive on zkSync

Cheaper Transactions on zkSync After Ethereum Dencun Upgrade

zkSync is a layer-2 network that aims to scale Ethereum by offering transactions at lower prices through off-chain computation and data storage. This network is known as a ZK rollup which employs zero-knowledge cryptography. The fees on zkSync reduced significantly following on Ethereum’s Dencun upgrade in March. This improvement enabled layer-2 networks like zkSync to reduce transactions before they were sent in batches to the Ethereum mainnet.

Following the Airdrop Trend in the Crypto Space

The planned governance token airdrop follows a trend set by other projects over the last year. EigenLayer, Renzo, Ethena, and Wormhole have all given away free tokens to early adopters instead of hosting a traditional token sale. Matter Labs, the creators of zkSync, have raised $458 million through different investment rounds, with Blockchain Capital and Dragonfly Capital being some of the investors.

Also Read: Circle launches its USDC on Ethereum zkSync

zkSync Is Leading Innovation in the Ethereum Ecosystem

Through its work with zkSync, Matter Labs has contributed to increasing scalability and efficiency on the Ethereum network. The governance token airdrop and the completion of the v24 protocol upgrade are achievements in community-driven network governance. zkSync’s layer-2 solution is designed to be a cheap and quick way of processing transactions for Ethereum users.

While zkSync is still in its development stages, it is one of the leading blockchain projects that uses zero-knowledge cryptography to speed up transaction processing and data storage on the Ethereum network. The zkSync community will be on the lookout for any changes and announcements about the governance token airdrop, a milestone event for the blockchain protocol. 

Cryptopolitan reporting by Lawrence Damilola.