ZetaChain Holders Approve Layer 1 Shutdown
ZetaChain tokenholders have approved a proposal to wind down the project’s standalone Layer 1 blockchain and move its native ZETA token to Solana.
Governance Proposal 68 passed on September 20 with 99.4% support, while voter participation reached 58%, above ZetaChain’s stated 40% quorum requirement. The vote represents a major change for a project originally built around blockchain interoperability through its own network. Current reporting on the vote confirms the approval and participation figures.
The decision does not mean ZetaChain’s network shuts down immediately. The proposal calls for a second governance vote covering important migration details, including the asset withdrawal period, snapshot block height, network shutdown schedule, token-claim process and exchange conversion period.
ZETA Will Become a Solana SPL Token
Under the approved plan, ZETA will migrate to Solana as an SPL token through a 1:1 conversion. The ticker will remain ZETA, while the total token supply will remain unchanged.
The transition is intended to preserve the existing token economics while moving ZETA away from ZetaChain’s independent blockchain. Validators will continue operating during the transition, and staking rewards will continue until the network reaches the shutdown stage outlined by the forthcoming migration plan.
ZetaChain’s existing infrastructure currently uses ZETA for transactions, staking and governance. The project’s official documentation describes ZETA as the token used for network gas, validator staking and governance across the ZetaChain ecosystem. ZetaChain official overview
Why ZetaChain Is Leaving Its Own Blockchain
The proposed shutdown is closely connected to a change in ZetaChain’s strategic direction.
ZetaChain says maintaining its own Cosmos SDK-based Layer 1 requires resources that it now wants to redirect toward Anuma, its private-focused artificial intelligence application, and the Private Memory Layer supporting it.
The project has increasingly positioned itself around private AI rather than its original interoperability-focused mission. In June 2026, ZetaChain said it was becoming a private memory layer for AI and planned to wind down its cross-chain interoperability features. The project described Anuma as an AI product designed around encrypted, user-owned memory that can work across models and applications.
The company argues that moving to Solana will allow it to concentrate development resources on that AI-focused direction instead of continuing to maintain a standalone blockchain.
From Interoperability Layer 1 to AI Infrastructure
ZetaChain was founded in 2021 with a different primary objective: connecting assets and data across multiple blockchains through an interoperability-focused Layer 1.
The project later raised $27 million to develop that infrastructure. Investors named by ZetaChain included Blockchain.com, Human Capital, Vy Capital, Sky9 Capital, Jane Street Capital, VistaLabs, CMT Digital, Foundation Capital, Lingfeng Capital and GSR. The project said the funding would support its mission of building an interoperable Layer 1 connecting multiple blockchain networks. ZetaChain’s $27M funding announcement
That original model made ZetaChain itself an important part of the infrastructure. The new plan changes that structure by moving the token to an existing blockchain and directing the project's development focus toward AI applications.
ZetaChain’s Security History Adds Context
The proposed shutdown also follows security challenges involving ZetaChain’s cross-chain infrastructure.
In April 2026, ZetaChain experienced an exploit involving its GatewayEVM contract. A post-mortem reported that approximately $333,868 was drained from three ZetaChain-controlled wallets across Ethereum, Arbitrum, Base and BNB Smart Chain. ZetaChain said external user funds were not affected.
The incident involved multiple weaknesses in the cross-chain messaging and execution system. Reporting based on ZetaChain’s post-mortem said a vulnerability class had previously been submitted through the project’s bug bounty program but was initially treated as intended behavior.
The security incident does not by itself establish that the Layer 1 shutdown was caused by the exploit. ZetaChain’s stated reason for the strategic transition is its decision to focus resources on Anuma and its Private Memory Layer.
Other Crypto Projects Are Also Moving Away From Standalone Chains
ZetaChain’s decision comes as other crypto projects have also considered or implemented migrations away from their own Layer 1 networks.
BounceBit, for example, decided to permanently sunset its standalone chain following a hacking incident. Binance subsequently announced that BB would migrate from BounceBit’s mainnet to BNB Smart Chain through a 1:1 contract swap. Binance BounceBit migration announcement
Harmony has also proposed shutting down its Layer 1 and moving its ONE token to Ethereum as an ERC-20 token. The proposal followed an exploit that led the project to consider rolling back more than 109,000 transactions.
These cases involve different circumstances and should not be treated as identical to ZetaChain’s decision. ZetaChain has specifically linked its move to a strategic shift toward private AI and the desire to focus resources on that application layer.
What Happens Next for ZETA Holders?
The September 20 vote is an important governance decision, but it is not the final step in the migration.
ZetaChain’s proposal says another proposal will establish the practical details of the transition. These include when users must withdraw assets, the blockchain snapshot used to determine balances, the network shutdown schedule, how ZETA will be claimed on Solana and how exchanges will handle the conversion.
Until those details are finalized, holders should not assume that the migration process has already been completed. The official ZetaChain governance forum is the relevant place to follow governance discussions and proposals.
The project’s broader direction is now centered on Anuma and its Private Memory Layer, while ZETA is planned to continue as a Solana-based token rather than the native asset of a standalone ZetaChain Layer 1.
ZetaChain’s Next Chapter
The approval marks a significant change from ZetaChain’s original identity as an interoperability-focused Layer 1.
With 99.4% support and 58% participation, tokenholders have backed the plan to retire the network and migrate ZETA to Solana. However, the actual shutdown and token migration still depend on the follow-up governance process that will establish the technical and operational timeline.
For ZetaChain, the transition represents a move away from maintaining its own blockchain infrastructure and toward concentrating development on private AI, Anuma and its Private Memory Layer. The coming migration proposal will determine how that transition is executed for tokenholders, validators, exchanges and users.
