Layer 2 network ZKSYNC announced that it will provide liquidity for the IGNITE program due to bearish market conditions, which rewards users with liquidity.
“After careful consideration, the DEFI Steering Committee (DSC) decided not to renew Season 2 and will start on March 17, 2025, thus closing the program for the 6th period,” ZKSYNC Posted on X.
It added that long-term vision is concentrated around the elastic network, which consists of multiple chains in the ZKSYNC ecosystem.
“Unfortunately, we are now browsing a bearish market. In line with many other ecosystems, Zksync has decided to stay more conservative about these evolving conditions in terms of short- to medium-term spending,” it added. “To remain sustainable, we are tightening our attention and smarter people, rather than hitting headwinds.”
Total value lockdown (TVL) on ZKSync has dropped by about 50% since January 30, as the broader crypto market is compatible with the market cap of 13% and 27% losses in Bitcoin and Ether in the past month.
ZKSYNC’s local token (ZK) fell 35% during the same period.
