ZKsync’s new governance proposal could fundamentally shift how the protocol generates revenue for its holders. ZKsync has continued last week’s rally, with an upgrade that aims to prove its long-term utility and tokenomics. On Tuesday, Alex Gluchowski, CEO and co-founder…ZKsync’s new governance proposal could fundamentally shift how the protocol generates revenue for its holders. ZKsync has continued last week’s rally, with an upgrade that aims to prove its long-term utility and tokenomics. On Tuesday, Alex Gluchowski, CEO and co-founder…

ZKsync continues 65% weekly rally on burn, staking, buybacks

2025/11/05 02:00

ZKsync’s new governance proposal could fundamentally shift how the protocol generates revenue for its holders.

Summary
  • ZKsync continues its 65% weekly rally, rising 15% in one day
  • A new governance proposal would introduce new revenue generation
  • Features include buybacks, staking rewards, and real-world fee capture

ZKsync has continued last week’s rally, with an upgrade that aims to prove its long-term utility and tokenomics. On Tuesday, Alex Gluchowski, CEO and co-founder of Matter Labs, announced a major ZKsync that would bring rewards to its holders.

The upgrade proposed by the creator of the ZKsync network would turn the purely governance token into one that generates utility. The network would collect both off-chain and on-chain fees and use the proceeds to buy ZK tokens.

A part of these tokens will be burned to increase their scarcity over time. The rest will go toward staking rewards and to a treasury to fund ecosystem development.

ZKsync rallies after Vitalik’s endorsement

Following the news of the upgrade, Zksync rose 15% in a single day, adding up to a 65% weekly rally. There were several catalysts for its rally, the main one being the endorsement of the Ethereum Layer-2 chain by Vitalik Buterin.

On November 1, Ethereum’s co-founder suggested that ZKsync’s contributions to the Ethereum ecosystem are important, if often undervalued. His remarks were about the network’s Atlas upgrade, which promised significant improvements in throughput and finality. Following the announcement, the token surged up 70%.

Still, long-term benefits from ZKsync’s new tokenomics proposal will depend on the revenue it can generate. This includes both the revenue from network usage and off-chain partnerships.

Disclaimer: The articles reposted on this site are sourced from public platforms and are provided for informational purposes only. They do not necessarily reflect the views of MEXC. All rights remain with the original authors. If you believe any content infringes on third-party rights, please contact [email protected] for removal. MEXC makes no guarantees regarding the accuracy, completeness, or timeliness of the content and is not responsible for any actions taken based on the information provided. The content does not constitute financial, legal, or other professional advice, nor should it be considered a recommendation or endorsement by MEXC.
Share Insights

You May Also Like

Market Conditions Now Favor Bitcoin’s Next Rally, According to Crypto expert

Market Conditions Now Favor Bitcoin’s Next Rally, According to Crypto expert

The post Market Conditions Now Favor Bitcoin’s Next Rally, According to Crypto expert appeared on BitcoinEthereumNews.com. Bitcoin 28 September 2025 | 18:02 Cryptocurrency strategist Timothy Peterson has linked improving macroeconomic signals to a potential rally in Bitcoin, suggesting the digital asset could enter a powerful uptrend over the next nine months. According to Peterson, the prolonged period of high interest rates has weighed heavily on the economy, especially in sectors like housing. He highlighted that the recent drop in mortgage rates is beginning to unlock refinancing, which puts more disposable income into the hands of households. This shift, he argued, can stimulate consumption and create a ripple effect that strengthens economic activity overall. Beyond housing, Peterson pointed to developments in credit markets. The decline in yields on riskier bonds shows investors are becoming more comfortable with exposure beyond safe assets. For him, this appetite naturally extends to Bitcoin, which he describes as sitting at the highest point on the risk spectrum. Peterson believes these signs reflect a broader return of confidence. Falling rates combined with stronger risk tolerance, he said, are exactly the conditions that typically drive capital into Bitcoin. If current trends continue, the analyst expects the cryptocurrency to benefit significantly in the months ahead. The information provided in this article is for educational purposes only and does not constitute financial, investment, or trading advice. Coindoo.com does not endorse or recommend any specific investment strategy or cryptocurrency. Always conduct your own research and consult with a licensed financial advisor before making any investment decisions. Author Alexander Zdravkov is a person who always looks for the logic behind things. He is fluent in German and has more than 3 years of experience in the crypto space, where he skillfully identifies new trends in the world of digital currencies. Whether providing in-depth analysis or daily reports on all topics, his deep understanding and enthusiasm for what he…
Share
BitcoinEthereumNews2025/09/28 23:10