DoubleZero (2Z) Price Prediction

Deep Dive

1. Regulatory Momentum (Bullish Impact)

Overview: The SEC’s September 2025 no-action letter confirmed 2Z isn’t a security, allowing telecom operators and enterprises to join DoubleZero’s network without legal hesitation. This aligns with the SEC’s broader “Project Crypto” initiative to clarify token classifications.

What this means: Reduced regulatory risk could accelerate partnerships (e.g., Jump Crypto’s fiber contributions) and exchange listings (Gemini, Coinbase roadmap), historically linked to price rallies. For example, 2Z surged 25% post-SEC news on Dec 3 (CoinMarketCap).

2. Network Adoption vs. Competition (Mixed Impact)

Overview: DoubleZero’s mainnet-beta now supports 34% of Solana validators, but rival DePIN projects like Fuse secured similar SEC approvals in November. The network’s Shapley-based reward algorithm must outperform competitors on latency and uptime to retain users.

What this means: While Solana’s growth (22% of staked SOL on DoubleZero) provides tailwinds, failure to diversify beyond Solana or counter new entrants like Helium could cap upside. The 30-day fee ranking (#16 per DefiLlama) suggests early traction but no moat yet.

3. Token Supply Risks (Bearish Impact)

Overview: With 65.29% of 2Z’s 10B supply locked until 2028, monthly unlocks from 2026 onward could dump ~150M tokens into circulation. Jump Crypto’s 28% stake and the Foundation’s 14% reserve add sell-side risk, as seen in October’s 65% crash post-listing.

What this means: Inflationary rewards (new 2Z minted for stakers) and weak burns (only 20% of fees) may fail to offset dilution. The 90-day price drop (-78.67%) reflects lingering fears of whale exits, like Jump’s $20.9M Binance deposit in October (Coingape).

Conclusion

DoubleZero’s price hinges on balancing regulatory wins against inflationary supply and DePIN sector competition. While SEC clarity and Solana integration offer growth levers, token unlocks and concentrated ownership pose persistent risks. Can network fees outpace inflation before 2026 unlocks? Monitor monthly burn rates and validator growth at doublezero.xyz/network.