Ethereum Layer 2 Zero Network Pulls the Plug After Just 1.5 Years

After operating for around 1.5 years, the Ethereum Layer 2 project Zero Network announced that it is shutting down its standalone chain and pivoting toward expanding the Zerion API and wallet products.

The team said the network was originally launched with the belief that gas fees remained one of the biggest barriers to mainstream crypto adoption, according to a statement shared on X.

Full Shutdown Timeline

Zero Network described itself as the first fully gasless, EVM-compatible rollup, which offered zero gas fees for Zerion wallet users through an open paymaster system. However, after running the network, the team said it concluded that maintaining a separate chain was no longer the best way to pursue that goal.

It plans to direct its resources toward products already being used daily by its customers. As part of the wind-down process, the project urged all users holding ETH, tokens, or NFTs on Zero Network to bridge their assets out before July 31, 2026.

The team asserted that all funds remain safe and fully accessible, and instructed users to move assets either to the Ethereum mainnet or another preferred chain before the deadline.

According to the announcement, bridging into Zero Network has already been disabled, while bridging out will remain available until July 31. After that date, the network will be completely shut down, and block production will stop. The team also thanked early users, builders, and partner projects that supported the ecosystem from its launch, including Matter Labs, Caldera, Relay Protocol, and Highlight.

Zero Network added,

“The vision we set out to build hasn’t changed. How we deliver it is evolving. The team, the talent, and everything we learned from ZERϴ is being channeled into building the best wallet and data API experience in crypto, across every chain.”

Crypto Closures

A number of crypto companies announced shutdowns this week. Syndicate Labs, an Ethereum infrastructure startup backed by Andreessen Horowitz, said it was closing down after operating for five years. The company explained that it had focused on building tools to help developers create and scale on-chain applications, but added that the rollup sector had changed significantly over time.

The firm stated that EVM rollups are no longer widely treated as the default industry approach. Syndicate Labs said it spent years trying to support the expansion of on-chain apps and wished the results had turned out differently.