TL;DR
- Network Congestion: ZkSync Era faced performance issues due to high demand during the ZK token airdrop, with 45% of tokens claimed by over 225,000 addresses in two hours.
- Technological Milestone: The launch followed Matter Labs’ introduction of a zk-EVM in March 2023, positioning ZkSync as a leader in Layer 2 solutions.
- Airdrop Criteria and Impact: Eligibility for the airdrop required diverse blockchain interactions, and post-distribution, ZK’s market cap fell by 20%, indicating significant market movement.
ZkSync Era, a prominent Layer 2 network, experienced a surge in crypto activity and degraded performance shortly after launching its ZK token airdrop. The network’s RPC services struggled under the heavy load as users clamored to claim their tokens. Despite the congestion, ZkSync reported that 45% of the airdropped tokens were claimed by over 225,000 addresses within just two hours.
(1/2) The network is currently under high load. Some RPC services may experience degraded performance.
Teams are working to increase RPC capacities.
Stay tuned for updates.
— ZKsync (∎, ∆) (@zksync) June 17, 2024
Anticipation and Rapid Claiming
The excitement surrounding ZkSync’s token was tangible, as the community eagerly awaited the airdrop. Matter Labs’ groundbreaking implementation of a zk-EVM alongside ZkSync Era in March 2023 was a major achievement, establishing them as trailblazers in Layer 2 solutions.
This remarkable technological advancement, combined with Arbitrum’s token release the day before, intensified the thrill and speculation among airdrop enthusiasts.
ZkSync Era and Lite: A Tale of Two Networks
ZkSync Era has swiftly risen through the ranks of Layer 2 networks, with a TVL of $776.4 million and processing 6.9 transactions per second. In contrast, ZkSync Lite, launched in June 2020, focuses on efficient token transfers but has witnessed a decline in TVL from its peak of $177 million. Notably, only users who bridged assets from Lite to Era were eligible for the ZK token distribution.
Eligibility Criteria for Airdrop Participants
To qualify for the airdrop, users had to meet specific criteria beyond asset transfers on Era. These included diverse trading activities on DEXes, smart contract interactions, NFT holdings, sustained activity on Lite, and contributions to Gitcoin funding rounds.
Token Distribution and Market Response
ZkSync revealed that around 695,000 wallets would receive a share of 17.5% of ZK’s total supply. Each wallet was allocated between 450 to 100,000 tokens. After the distribution, ZK’s market cap dropped by 20%, hitting $927 million, with a fully diluted value close to $5.3 billion.
The recent airdrop by ZkSync showcased strong enthusiasm and engagement in Layer 2 networks, shedding light on the difficulties of scaling these platforms in the face of overwhelming demand.
