THORChain’s Base L2 Integration May Enhance Liquidity Ahead of Major Crypto Events This January

• Base L2 integration boosts THORChain’s liquidity and cross-chain swaps, enhancing user experience and ecosystem growth.

• Upcoming airdrop of 700M JUP tokens on Solana fuels user activity, with staking rewards mitigating potential sell-offs.

• Terra founder’s January 8 trial revisits fraud charges, with significant implications for crypto regulations and accountability.

Explore the latest in crypto news, including THORChain’s L2 integration, Jupiter’s massive airdrop, and pivotal legal cases impacting the market.

THORChain Integrates Base L2

In October, Nine Realms, which supports the THORChain ecosystem, revealed the network’s roadmap, indicating plans to start supporting Base L2 for cross-chain swaps.

“Base may be the next major chain connected to THORChain. Nine Realms team is working on delivering to mainnet,” an excerpt from their Medium post read.

The integration is expected to happen in the second week of January. In her 2025 preview, Jade, well-known for her THORChain ecosystem insights, emphasized that this development is imminent.

THORChain employs the IBC (Inter-Blockchain Communication Protocol) to enhance its App Layer by bringing additional assets into the ecosystem. By connecting more chains, THORChain aims to boost its liquidity and improve the experience for Liquidity Providers (LPs).

USUAL Fee Switch Activation

The fee switch mechanism for Usual (USUAL) will be activated on Tuesday, January 7, 2025. Usual, a real-world asset (RWA) stablecoin protocol, announced this in a January 1 post on X (Twitter).

“The fee switch era begins. 2025 marks a turning point for DeFi: real value, real distribution. Get your USUAL ready for January 7th. It’s a new year, a new standard. Let’s make 2025 the year of USUAL,” the network stated.

Fee switches are gaining traction in the decentralized finance space, transforming passive token ownership into a more rewarding experience. They enable the redistribution of collected fees to key stakeholders, such as liquidity providers, stakers, and token holders.

The January 7 USUAL fee switch activation could signal a new era for the ecosystem, prioritizing real value and equitable distribution. This shift may set a new benchmark for success within the DeFi sector.

Simultaneously, the activation could also influence competitive dynamics among decentralized exchanges (DEXs), potentially solidifying leading DEXs’ positions by retaining a larger share of their fees. However, there are concerns regarding how much higher these fees can be before affecting liquidity and trading volume.

ZKSync Incentive Program

ZKsync’s incentive program starts on January 6, with up to 300 million ZK tokens set for distribution to DeFi users.

“The official launch time of Ignite is scheduled for Monday, January 6th, 2025 at 1 PM UTC,” ZKNation shared in a recent forum post.

In this first phase, the network will incentivize similar pools and assets across participating protocols, utilizing a standardized structure to identify high-growth candidates. The network will assess Pool performance based on key merits, including comparable pool APRs, TVL growth per $1 of incentives, fee generation, and share of aggregator swap paths.

In addition to the primary asset pools, ZKNation will also allocate ZK tokens to incentivize the bridging of funds to the ZKsync Era, specifically through Jumper Exchange and LayerSwap allocations targeting users moving funds from ZKsync Lite to ZKsync Era.

Jupiter Airdrop Checker Release

The successful initial Jupiter airdrop on Solana sets the stage for the upcoming airdrop checker release, making it a significant highlight in crypto news this week. Jupiter is expected to release the checker as the platform prepares for another major distribution of JUP tokens.

“Jupiter will distribute 700M tokens Airdrop. The first draft tiers are expected to change significantly,” stated Jussy.Sol, a DeFi and airdrops researcher.

Details regarding the date, time, and eligibility for the next airdrop remain largely undisclosed. To increase their future JUP allocation, participants must actively engage in buying, selling, and trading on Jupiter platforms, as airdrop rewards are usually tied to user activity.

The second Jupiter airdrop is anticipated to be one of the largest in crypto history, although its potential impact on the JUP token price remains a topic of discussion.

Second Hearing of Do Kwon’s Case

The second US hearing in the case against Terra founder Do Kwon is scheduled for January 8, drawing significant attention amidst broader discussions on crypto regulations. This development follows Kwon’s not guilty plea to fraud charges related to the collapse of TerraUSD and Luna, which resulted in a $40 billion market loss in 2022.

The upcoming hearing will allow both defense and prosecution to present motions and evidence ahead of the trial. Reports suggest that Kwon might attempt to negotiate a plea deal similar to previous agreements made with the SEC (Securities and Exchange Commission), but the prospect of prison time remains high.

As crypto gains increasing acceptance within governmental structures, there is still a palpable desire among prosecutors to hold accountable major fraudsters, evidenced by the high-profile cases surrounding figures like Sam Bankman-Fried. Kwon’s case is therefore expected to attract considerable media attention.

Dusk Mainnet Launch

Dusk, a ZK-friendly L1 blockchain, is set to launch its mainnet on January 7 as part of its token generation event (TGE). The rollout includes the production of its first immutable block, which marks a significant milestone for on-chain financial systems.

“Starting today, we are officially in the Mainnet Rollout Phase, starting with DUSK on-ramping and culminating on January 7th with our first immutable blocks,” stated the Dusk Foundation in a recent announcement.

Notably, the Dusk Mainnet facilitates on-chain compliance for organizations of all sizes. It enables blockchain-based stock exchanges to issue assets natively and allows RWA projects to utilize DUSK for their protocols, ensuring compliance with regulations while enabling the development of privacy-friendly systems.