ZKSwap Down 50% After Airdrop, Launches $100M PoS Mining Reward Program
- ZKS saw its price drop 50% following today’s 1:1 airdrop.
- ZKSwap will continue launching features according to its whitepaper, which include a $100 million PoS reward scheme.
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After successfully completing its 1:1 airdrop, which saw the price of the ZKS token drop by 50%, the Ethereum-based swap protocol launched a new Proof-of-Stake mining event set to distribute $100 million of ZKS rewards.
The PoS mining event is part of ZKSwap’s original economic whitepaper, where it states that 2.5% of the total ZKS tokens will be distributed as Proof-of-Stake mining rewards in the first year of the protocol. According to the company’s announcement, the event was launched on 25 February at 18:00 Beijing time. ZKSwap will offer four staking periods, each lasting 30, 60, 180, and 360 days and corresponding to 1x, 2x, 4x, and 8x reward factors
As part of the event, a total of 15.24 million ZKS, worth around $100 million, will be distributed. Users that participate in PoS mining for 360 days will get ZKSwap voting rights and an allocation of the gZKS governance token.
Aside from PoS mining, ZKSwap also employs Proof-of-Gas mining, with plans to launch Proof-of-Liquidity and Proof-of-TransFee mining in the future. The former mining requires users to deposit ETH to the Proof-of-Gas contact address on Layer 1, after which the ZKSwap team calculates the daily amount of consumed ETH gas fees. The amount is then withdrawn from the Proof-of-Gas contract to pay gas fees, with users receiving ZKS tokens at 125% of the value of their deposited ETH.
ZKSwap’s migration to Layer 2 required the protocol to fork zkSync, an implementation of the Ethereum ZK rollup technology developed by Matter Labs. Just ahead of the launch, Matter Labs warned ZKSwap that their users’ funds could be in danger as the company hasn’t removed the Matter Lab’s authorship from the contracts code. Implementing AMM functionality to the company’s contract code requires a thorough security audit, the company said, calling on ZKSwaps to release its source code.
ZkSwaps confirmed its user funds remain safe, adding that its code will “soon” be published in installments.
- Coinbase’s Base blockchain was made available to the public on Wednesday, featuring over 100 dApps and services as part of its ecosystem.
- In order to show its capabilities and promote its mainnet partners, Base has also launched an event called “Onchain Summer” that will allow users to mint exclusive NFTs on the network.
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- Coinbase’s protocol security team and over 100 external security researchers were involved with testing the upcoming layer 2 Base blockchain over the past six months.
- The project said it has now completed four out of five criteria for Base’s mainnet launch, with the remaining one being to demonstrate “testnet stability”.
- Coinbase has launched the testnet for its own layer-2 network Base, which was designed to be low-cost, open-source, and provide a developer-friendly environment.
- The exchange also revealed it will be joining Optimism as a core developer on the open-source “OP Stack”, which Base was built on top of.