Loopring announces the closure of DEX trading and the simultaneous shutdown of relay services: The zero-knowledge proof pioneer declares its exit.

Ethereum Layer 2 Project Loopring Announces Today (28th) to Cease DEX Trading and Simultaneously Shut Down Relayer Services, Officially Entering Shutdown Phase. User Funds Will Be Proactively Returned by the Team, No Need for Users to Withdraw.
(Previous Background: Taiko All Proposers Halted Block Production: Ethereum L2 Chain Breach, Cross-Chain Bridge Also Suspended)
(Context Supplement: Ethereum Foundation Lays Off 20% Completes Major Restructuring! Newly Established "Five Core Clusters" Vow to Defend Censorship Resistance Bottom Line)

Table of Contents

Toggle

• Early Architecture Lacked Virtual Machine, Ecosystem Scaling Hindered
• Zero-Knowledge Proof Pioneer: From a Cypherpunk Perspective
• Fund Return Method: Proactive Refund, No Merkle Proof Required

Ethereum Layer 2 Project Loopring Announced Today (28th) on Its Official Account That Loopring DEX Will Cease All Trades, and the Relayer Service Will Also Be Taken Offline, with the Project Officially Entering the Shutdown Phase.

Early Architecture Lacked Virtual Machine, Ecosystem Scaling Hindered

The Loopring Team Stated That the Project's Early Architecture Lacked Virtual Machine Support, Rendering It Unable to Achieve Smart Contract Composability and Broader Payment Scenarios, Leading to a Long-Term Lack of Widespread Adoption in the Ecosystem.

As Modern zkEVM Solutions Gradually Achieve Ethereum Smart Contract Compatibility, Loopring's Previous Specialized Architecture Advantages Have Diminished. External Factors, Such as the Delisting of LRC Tokens by Some Exchanges in 2026, Have Further Accelerated the Project's Shutdown Decision.

Zero-Knowledge Proof Pioneer: From a Cypherpunk Perspective

Loopring Is One of the Early Players in the Ethereum L2 Track. The Project Is Centered on Zero-Knowledge Rollup (zkRollup) Technology, Ensuring That User Assets Always Remain Under Their Control, Enjoying 100% Ethereum-Level Security Assurance.

Recent L2 Ecosystem Dynamics Covered by Crypto News Indicate That Loopring Officials Have Pointed Out That the Zero-Knowledge Proof Technology They Promoted Has Extended to Multiple New Projects, with the zkEVM Track Rapidly Expanding—Taiko Recently Experienced a Proposer Halted Block Event on June 22, Highlighting That L2 Validation Mechanisms Are Still in an Iterative Phase.

Fund Return Method: Proactive Refund, No Merkle Proof Required

In Terms of Asset Handling, Loopring Stated That User Funds Are Secure, with the Team Proactively Completing the Return of Assets, Rather Than Requiring Users to Generate Merkle Proofs for Withdrawal. The Official Plan Is to Publish a Final Balance List in the Future, Covering the Following Assets:

• ETH (Ethereum Native Token)
• ERC-20 Tokens
• AMM Liquidity Pool Positions (Will Be Automatically Converted to Corresponding Underlying Assets)

The Entire Asset Distribution Is Expected to Be Completed Within a Few Weeks After Initiation. The Loopring Team Thanked the Community for Its Support in the Announcement and Hoped That the Zero-Knowledge Proof Technology They Promoted Would Continue to Be Extrapolated in Other Projects.