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Linea to burn Ethereum and its own token with every transaction

July 29, 2025Updated:July 29, 2025No Comments3 Mins Read
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Linea to burn Ethereum and its own token with every transaction
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Linea to burn Ethereum and its own token with every transactionStake

Linea, a Layer-2 community constructed on Ethereum, has launched a complete roadmap to strengthen its integration with the Ethereum ecosystem, in response to a July 29 assertion shared with CryptoSlate.

On the coronary heart of the plan is a brand new ETH-native staking system that allows bridged ETH to earn yield instantly from Ethereum’s mainnet validators. This shall be made attainable by means of a local bridge, scheduled for launch by October 2025.

In response to the assertion, customers who deposit ETH into Linea is not going to solely be eligible for Ethereum staking rewards however will even profit from DeFi incentives supplied throughout the Linea ecosystem.

Linea believes this mannequin will rework ETH from passive collateral into an energetic capital layer, unlocking new types of on-chain productiveness and incentivizing long-term participation.

Linea tokenomics

In preparation for its upcoming Token Technology Occasion (TGE) later this yr, Linea shared particulars about its token distribution and charge construction.

In response to the announcement, 85% of the whole token provide shall be dedicated to ecosystem development. Of this, 10% is earmarked for early customers, whereas 75% shall be deployed progressively by means of a multi-year ecosystem fund.

The remaining 15% shall be reserved for the Consensys Treasury and locked for 5 years.

Talking on the tokenomics, Joseph Lubin, the co-founder of Ethereum, mentioned:

NemoNemo

“Linea is the one L2 with complete Ethereum compatibility, and we needed the economics to be as aligned and supportive because the know-how. We’re constructing for the long run, we’re creating infrastructure that establishments can belief and simply work with, and that the prolonged Ethereum group can personal.”

In the meantime, Linea additionally launched a dual-burn mannequin that units it other than different L2s.

In response to the assertion, 20% of all internet transaction charges shall be paid in ETH and burned, an unprecedented transfer that embeds Ethereum deflation instantly into Linea’s protocol layer.

The opposite 80% of charges shall be used to burn LINEA tokens, decreasing provide in tandem with community utilization.

Declan Fox, the top of Linea, mentioned:

“Linea Mainnet will burn ETH with each transaction, use the LINEA token to assist customers, builders, and public items, and return worth to Ethereum’s base layer, all whereas rising long-term worth within the LINEA token-based financial system.”

Ecosystem fund

The Ethereum layer-2 community additionally introduced the introduction of an ecosystem fund that shall be managed by the Linea Consortium.

In response to Linea, the Consortium is made up of key Ethereum contributors, together with Eigen Labs, ENS Labs, SharpLink, and Standing.

This group will information useful resource allocation and assist the event of Ethereum-native functions and infrastructure over the following decade.

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