Author: Nancy, PANews
Recently, discussions in the market have been sparked by the news of zkSync’s upcoming token issuance and predictions about the airdrop rules. This article from PANews looks back at zkSync’s data for this year and finds that although zkSync still maintains a leading position in the market, the willingness of users to participate is decreasing. Additionally, the profit-capturing ability is significantly decreasing, which is closely related to years of continuous airdrops, low-quality ecosystem projects, and neglect of user rights.
Despite zkSync Era’s total value locked (TVL) reaching nearly $850 million by May 6th, showing an increase of about 44.1% since the beginning of the year, the ecosystem projects within zkSync are relatively few and single in type. The majority of the TVL in zkSync ecosystem projects come from only a few DEX and lending projects, highlighting the ecosystem’s struggle and impacting user engagement significantly.
Looking at the growth of zkSync Era in terms of user numbers and capital this year, there has been a positive trend. The number of zkSync Era users has reached close to 3.13 million by May 6th, showing a 16.3% increase since the beginning of the year. Despite this growth, the average amount of ETH bridged per user is only 1.37 ETH, with over 80% of users bridging less than 1 ETH. This indicates that users are inclined towards low-cost investments rather than larger commitments.
The participation of numerous arbitrage traders has brought substantial profits to zkSync Era. In the past four months, zkSync Era has generated profits of approximately 1848 ETH from Gas fees, accounting for 10.3% of the total profits on the Rollup chain. However, there is a noticeable gap compared to other competitors, and the monthly profits are showing a significant decline.
The decrease in transaction fees is attributed to zkSync’s technological advancements, with transaction costs now reduced by 10 to 20 times compared to before. Nevertheless, the declining transaction fees and the lack of protection for user rights have led to a loss of community trust in zkSync.
The indifference towards user rights and the lack of action from the official team have become significant obstacles hindering zkSync’s market expansion. Various incidents of rug pulls in zkSync ecosystem projects and the lack of concern for user rights have contributed to the difficulty in scaling up the market.
For instance, incidents like the Eralend flash loan attack, which resulted in losses of approximately $3.4 million, and the lack of compensation for affected users have eroded trust in zkSync. The community has criticized zkSync for not taking responsibility for ecosystem development and allowing rug projects to thrive. The lack of strong measures to address user interests and the mismanagement of the ecosystem have further exacerbated the chaotic situation within zkSync.
In the current environment of intense competition among L2 solutions, zkSync must prioritize ecosystem development and user interests to overcome the challenges ahead as the airdrop effects diminish. Failure to do so may lead to even greater challenges for zkSync in the future.
