Syndicate Labs will cease operations due to the shrinking Rollup market

robot
Abstract generation in progress

BlockBeats News, May 21 — Syndicate Labs announced that after five years of developing on-chain infrastructure for customizable Ethereum rollups and sequencers, the company has decided to cease operations due to the shrinking rollup market.

The Ethereum scaling ecosystem is mainly dominated by three players: Arbitrum One, Base, and OP Mainnet, collectively holding 75% of the market share. Smaller companies are gradually being pushed out as activity and funding concentrate among the top three. Syndicate Labs completed a $20 million Series A funding round led by Andreessen Horowitz in 2021. This decision caused the SYND token price to drop 21% in the past three hours, hitting a new low of $0.012, down 99.5% from its peak of $2.61 on September 2, 2025.

Additionally, Syndicate Labs stated that Syndicate Network Collective operates independently of Syndicate Labs, so the governance of the SYND token will not be immediately affected, and the shutdown decision was not influenced by the previous bridge asset hack incident.

SYND-25.17%
ETH-0.38%
ARB-2.15%
OP0.96%
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • 9
  • 13
  • Share
Comment
Add a comment
Add a comment
OrderflowOtter
· 2h ago
The bridge theft is unrelated, but users will only remember that another project team has run away.
View OriginalReply0
Coconut-FlavoredGasFee
· 8h ago
Base, Arbitrum, and OP dominate the landscape; latecomers can only share the leftovers.
View OriginalReply0
HotspotChaser
· 8h ago
99.5% decline, holders' mentality must have collapsed, right?
View OriginalReply0
GateUser-509018a9
· 8h ago
A16Z invested and also went down, the Rollup track has become so competitive, small teams really have no way out
View OriginalReply0
TacoTreasury
· 8h ago
In 2021, they took 20 million and burned it over five years. Can this calculation be justified?
View OriginalReply0
MarginMarmot
· 8h ago
On-chain infrastructure hasn't improved in five years, that really hits home.
View OriginalReply0
NeonVortexTunnel
· 8h ago
Which is the cause and which is the effect: the halt of operations or the token plummet?
View OriginalReply0
BetweenBidAndAsk
· 8h ago
SYND governance still exists, but with the coin price like this, does anyone still care about governance?
View OriginalReply0
MevInRetrospect
· 8h ago
The three major oligopolies monopolize, and the cost of Ethereum scaling is the suppression of innovation.
View OriginalReply0
View More
  • Pinned