Deep Dive
1. Mainnet Launch on Base (December 2025)
Overview: Horizen successfully launched its mainnet as a Layer 3 rollup on Base, completing its transition from a proof-of-work Layer 1. This makes it a fully EVM-compatible, privacy-focused chain within the Ethereum ecosystem.
The core technical shift involved migrating the entire protocol to operate on top of Base, leveraging its security and scalability. This required building new rollup infrastructure and ensuring full compatibility with Ethereum's tooling. The legacy mainchain and EON sidechain were discontinued. Key integrations include zkVerify for efficient zero-knowledge proof verification and a forthcoming Confidential Compute Environment for private on-chain computation.
What this means: This is bullish for ZEN because it drastically improves the project's utility and reach. Developers can now easily build on Horizen using familiar Ethereum tools, while users benefit from faster transactions and lower fees. The move connects ZEN to Base's vast liquidity and user base, potentially driving new adoption.
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2. Developer Grant Program (July 2025)
Overview: Horizen announced a strategic initiative to allocate 1 million ZEN tokens over five years to fund developers building privacy applications on its new network.
Managed by Thrive Protocol, the program uses a milestone-based funding model to reward tangible progress. Grants are targeted at four key areas: confidential finance (40%), privacy-preserving AI (30%), verifiable gaming (20%), and decentralized governance (10%). This initiative is designed to bootstrap a vibrant ecosystem directly on the new Horizen 2.0 appchain.
What this means: This is bullish for ZEN because it directly incentivizes the creation of useful applications that will require the ZEN token. More apps mean more utility, more users, and increased demand for ZEN, moving it beyond a speculative asset into a functional ecosystem token.
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3. DAO Treasury Management Proposal (July 2025)
Overview: ZenIP 42411 proposed a new, passive strategy for managing the Horizen DAO's 3 million ZEN treasury by deploying it into automated liquidity provider (LP) vaults on Base decentralized exchanges.
The proposal explicitly rules out selling treasury assets, aiming instead to strengthen ZEN's liquidity depth on DEXs like Aerodrome and Uniswap. This generates yield for the DAO treasury while also providing deeper trading pools for the community. The vaults would be open for any user to participate in, aligning community and DAO incentives.
What this means: This is bullish for ZEN because it creates a sustainable model for treasury growth without causing sell pressure. Better liquidity makes trading ZEN smoother and more efficient, attracting more users and capital. It also demonstrates sophisticated, long-term-focused DAO governance.
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Conclusion
Horizen's latest codebase updates mark a complete strategic pivot from an isolated privacy chain to an integrated, EVM-native privacy appchain on Base. This architectural shift prioritizes developer accessibility, ecosystem growth, and sustainable treasury management. Will the influx of developer grants successfully translate into measurable on-chain activity and user adoption?