On November 4, 2025, Zksync founder Alex Gluchowski, who goes by @gluk64 on X, shared a lengthy post in which he proposed a major tokenomics redesign aimed at helping $ZK become more than just another governance token.
The proposal to pivot ZK from a utility-driven asset to one that captures real network value is also being pitched as a way to create sustainable decentralization by funding security, development, and growth through revenue loops.
The proposal shared by ZKsync founder Alex, titled “ZK Token Proposal Part I,” proposes a major update to the ZK token economic model that will see all revenue generated by the network used to buy back and burn ZK tokens, creating deflation.
Alex emphasized that the move aims to directly link the value of ZK tokens to network usage, pushing ZKsync to become a self-reinforcing and sustainable economic system.
He wrote that, in the future, ZK tokens will no longer be restricted to just governance purposes but will attempt to capture real-world value. Aside from token buybacks, the revenue generated will also be used to offer staking rewards and the development of the ecosystem.
At the time of this writing, the token is trading at $0.05201 with a trading volume that has surpassed $300M in the past 24 hours.
Analysts have started to price in the upside potential ahead of the pilot’s approval, although the token has a long way to go to recover from its post-airdrop price plunge (90% from highs).
The proposal also comes as there is currently growing demand for privacy-focused solutions, with tokens like Monero and Zcash rallying on investor interest and trading volume boosts. The recent rally of the ZK token that began this month highlights the market’s increasing awareness of zk-based technologies and their potential to drive scalability and confidentiality on-chain.
In Gluchowski’s “Ethereum is now the main capital hub of ZKsync” article, he talked about the ZKsync Atlas upgrade and how it will bring over 15,000 TPS, a 1-second zero-knowledge proof final confirmation time, and near-zero transaction fees.
Before Atlas, Alex pointed out that every L2 ecosystem was forced to build a central liquidity hub (like ZKsync Era, Base, or Arbitrum One) because it was the only way to operate.
Specialized hubs and app-chains will still be built, but Alex claims they will become value-added and specialized rather than mandatory general-purpose liquidity engines, thereby enhancing Ethereum’s liquidity instead of having to recreate it.
Ethereum co-founder Vitalik Buterin retweeted the article while praising ZKsync for doing a lot of what he tagged “underrated but valuable work” in the Ethereum ecosystem, and expressing anticipation for its upcoming new features.
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Lawmakers in the US House of Representatives and Senate met with cryptocurrency industry leaders in three separate roundtable events this week. Members of the US Congress met with key figures in the cryptocurrency industry to discuss issues and potential laws related to the establishment of a strategic Bitcoin reserve and a market structure.On Tuesday, a group of lawmakers that included Alaska Representative Nick Begich and Ohio Senator Bernie Moreno met with Strategy co-founder Michael Saylor and others in a roundtable event regarding the BITCOIN Act, a bill to establish a strategic Bitcoin (BTC) reserve. The discussion was hosted by the advocacy organization Digital Chamber and its affiliates, the Digital Power Network and Bitcoin Treasury Council.“Legislators and the executives at yesterday’s roundtable agree, there is a need [for] a Strategic Bitcoin Reserve law to ensure its longevity for America’s financial future,” Hailey Miller, director of government affairs and public policy at Digital Power Network, told Cointelegraph. “Most attendees are looking for next steps, which may mean including the SBR within the broader policy frameworks already advancing.“Read more
