TheBlock
ZetaChain token holders approved Proposal 68 with 99.4% support, clearing a plan to shut down the project's Layer 1 and move ZETA to Solana. Participation reached 58%, above the 40% quorum, with opposition and abstentions at 0.3% each. The project raised $27 million in 2023.
Why it matters
The team says it no longer needs to maintain its own Cosmos SDK chain as it develops Anuma, an AI application launched in February. ZetaChain reports more than 300,000 Anuma users and 1 million requests across 35 AI models. The app's encrypted memory works across models, while ZETA holders can lock tokens for credits.
The proposal cites the operational burden of coordinating security advisories and patches across dozens of validators. The argument gained urgency after attacks on six Cosmos EVM chains led to about $5.7 million in stolen funds, although ZetaChain was not among the affected networks.
Market impact
ZETA is expected to become a native Solana SPL token at a one-for-one rate, retaining its ticker and total supply. Vesting schedules are set to remain unchanged, but the conversion excludes ZETA on Ethereum and BNB Chain.
The vote did not set a shutdown date. A second proposal will define the balance snapshot, shutdown block, claims process, and withdrawals for connected-chain assets after exchanges confirm swap arrangements. ZETA staking continues for now, while the team is still evaluating staking and rewards on Solana. The token was down about 2.5% over the past 24 hours.
Frequently asked questions
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What did ZetaChain token holders approve?
They approved Proposal 68 to shut down ZetaChain's Layer 1 blockchain and move ZETA to Solana. The vote received 99.4% support.
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How will ZETA move to Solana?
ZETA is planned to become a native Solana SPL token at a one-for-one rate. The ticker, total supply, and vesting schedules are set to remain unchanged.
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When will ZetaChain shut down its Layer 1?
No shutdown date has been set. A future proposal will define the balance snapshot, shutdown block, claims process, and asset withdrawals.
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What happens to ZETA staking during the migration?
ZETA staking continues for now. The team is still evaluating how staking and rewards will work after the move to Solana.
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Why is ZetaChain moving away from its own blockchain?
The team says maintaining a Cosmos SDK chain requires coordinating security advisories and patches across dozens of validators. It also wants to focus on Anuma, its AI application.
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