ZetaChain L1 shutdown and ZETA migration to Solana

ZetaChain’s community has voted to move the project away from running its own Layer‑1 and to convert the native ZETA token into a Solana‑native SPL token. Proposal 68, opened on Sept. 17 and voted over a 72‑hour window, won overwhelming support: roughly 99.4% in favor with about 58% participation, clearing the 40% quorum requirement. The approved plan preserves token economics—the total supply remains capped at 2.1 billion ZETA and no new tokens will be minted—while authorizing core contributors to prepare the technical and operational steps needed for migration.

Importantly, the vote authorizes the migration direction but does not execute it. A separate follow‑on measure (Proposal 2) must set the snapshot block height, claim process, exchange coordination, the connected‑chain withdrawal window and the final L1 halt schedule. Under the current design ZETA native to ZetaChain would convert 1:1 into a Solana SPL token, with balances adjusted from 18 decimals down to nine decimals (amounts below the supported precision would be rounded down). Existing vesting and locked token schedules would continue according to their originals, and on‑chain staking and validation would persist until Proposal 2 defines the shutdown timing.

The migration decision is framed by operational and security considerations. After an April incident affecting team wallets and the subsequent June 30 wind‑down of cross‑chain deposit services and interoperability features, the team argued that running a separate Cosmos SDK/Cosmos EVM‑based L1 imposes continuous maintenance and security burdens. The proposal cites an Aug. 25 security response and broader Cosmos EVM coordination as part of that context; public reporting around the related incidents noted roughly $5.72 million in stolen assets converted through various exchanges across the confirmed attacks. ZetaChain’s plan would ultimately transfer validation responsibility to Solana validators, citing Solana’s throughput, low transaction costs and liquidity as advantages.

Anuma, ZetaChain’s encrypted private multi‑model AI application with more than 300,000 users, is a core use case for the migration: ZETA would operate as an access and credit token within Anuma on Solana. Exchange support, snapshot exports and checksums, audits for programs holding user ZETA, and coordinated conversion windows are required execution details that Proposal 2 must resolve before the L1 is halted and the Solana native token fully takes over.

Vote details and market metrics

The new reports add detail and market context to the previously described governance outcome: Proposal 68 passed with 99.4% support, 58% turnout, and opposition and abstentions each at 0.3% — a finer breakdown not previously stated. The vote confirms a 1:1 conversion of ZETA into an SPL token on Solana, preserving ticker and total supply, while execution steps remain contingent on a follow‑up Proposal 2 so validators can continue operating and earning staking rewards during the transition. Newly reported market figures place ZETA around $0.03, a market cap near $50 million and an FDV of about $65 million, which update the token’s immediate market profile. The coverage reiterates the strategic pivot from a $27 million‑backed Cosmos L1 toward Anuma, reframing ZETA from chain fuel to an access/lockup instrument, and it underscores distributional consequences: Solana and token holders could benefit if Anuma converts free users to paid lockers, whereas validators and projects reliant on ZetaChain’s cross‑chain primitives risk losses. Reports also recall recent exploits — including a $334,000 April drain — and other L1 shutdowns in 2026, reinforcing the operational pressures that shaped the vote.