Zilliqa plans to shift its network into an Ethereum Layer 2 for regulated institutions while retaining the Zilliqa (ZIL) token, changing direction after nine years of independent Layer 1 operation.
The team announced the plan Nov. 5, saying the independent network had fallen short of expectations. It cited insufficient usage, funding and liquidity as factors behind the change.
The team also said recent security incidents highlighted the high cost of maintaining an independent blockchain. It presented the planned Layer 2 as Zilliqa’s next direction.
The new network will be called the Zilliqa Institutional Layer, which the team abbreviates as ZIL. The team said the Zilliqa (ZIL) token will remain in place.
ZIL holders do not need to take action now. Zilliqa plans to publish technical details in advance. Any swap or migration should be based only on announcements on Zilliqa’s official website.
Simon Yoon
Simon Yoon reports on blockchain technology for TokenPost. Send corrections or tips to [email protected].
