ZKsync Unveils Ingite Initiative, Offering $60 Million in Incentives for Decentralized Finance
zkSync's DeFi Incentives Program Boosts Liquidity on Era Layer 2 Network
zkSync, a Layer 2 scaling solution for Ethereum, has seen a significant increase in liquidity on its Era network, thanks to its DeFi incentives program.
The program, worth a total of $60 million, was launched to attract DeFi users who provide liquidity on selected platforms on the zkSync Era Network. The program offers 300 million tokens over nine months, with the first season, worth $20 million, starting on January 6 and ending on March 31.
Sygnum, a digital asset custodian and bank, codistributed $3.6 billion tokens via an airdrop last June, which contributed to the program's success. As a result, zkSync Era's Total Value Locked (TVL) spiked from about $112 million to $188 million.
The Sygnum's real-world asset liquidity fund (FIUSD) currently holds the highest TVL on ZKsync Era with over $44 million. Aave V3 is the second-largest protocol on ZKsync Era with $39 million TVL. Decentralised finance exchange platforms SyncSwap, Koi Finance, and ZkSwap Finance complete the top six on ZKsync Era.
Venus Core Pool has a TVL of $34.76 million on ZKsync Era. The current TVL of platforms like SyncSwap, Koi Finance, and ZkSwap Finance is not provided, but their inclusion in the top six indicates a growing DeFi ecosystem on ZKsync Era.
The program's success is also evident in the network's transaction volume. Since March 2024, the transaction volume on ZKsync Era has risen from about $20 billion to over $30 billion cumulatively.
The program is open to platforms such as decentralised exchanges, lending platforms, and trading platforms. This openness has attracted various DeFi projects and token incentive programs, contributing to increased liquidity on the zkSync Era network.
According to DeFiLlama data, the current TVL of $188 million is the highest for ZKsync Era since March 2024, when it reached an 18-month high of $189 million. The technical advantages of zkSync’s ZK rollups provide lower gas fees, faster transaction confirmations, and high security, making liquidity mining and farming programs more effective and trusted by users.
zkSync powers successful decentralized exchanges like Grvt, which is gaining attention for its hybrid onchain/offchain architecture and strong security that supports high throughput with low costs, further incentivizing liquidity provision and trading activities on the network.
In conclusion, zkSync's DeFi incentives program has been successful in boosting liquidity and usage on its Era Layer 2 network, attracting various DeFi projects and users, and providing a supportive environment for DeFi activities.
Liquidity mining and farming programs on the zkSync Era network have become more effective and trusted by users due to the technical advantages of zkSync’s ZK rollups, such as lower gas fees, faster transaction confirmations, and high security. The success of the DeFi incentives program, worth a total of $60 million, has attracted various DeFi projects and token incentive programs, leading to an increase in transaction volume on the network.
The Sygnum's real-world asset liquidity fund (FIUSD) currently holds the highest Total Value Locked (TVL) on ZKsync Era with over $44 million, while decentralised finance exchange platforms SyncSwap, Koi Finance, and ZkSwap Finance complete the top six on ZKsync Era, indicating a growing DeFi ecosystem on the platform.
