📉 Loopring Shuts Down Its DEX After Losing Relevance in the zk-Rollup Era Loopring, known as the first zk-rollup protocol on Ethereum, has announced the permanent closure of its decentralized exchange (DEX) and automated market maker (AMM). The team attributed the decision to low adoption, challenges in building its ecosystem, and increasing competition from more advanced zkEVM solutions. As part of the shutdown process, the protocol will immediately cease all trading services and its relayer. What’s happening? In a statement posted on X, the Loopring team acknowledged that the project never achieved significant adoption. According to its developers, one of the main limitations was the lack of an Ethereum Virtual Machine (EVM)-compatible runtime, which prevented composability and hindered the development of more complex applications within its infrastructure. While projects like zkSync, Scroll, and Starknet evolved into zkEVM solutions, Loopring maintained a more limited architecture, making it difficult to attract new developers and use cases. The team also noted that the delisting of the LRC token from several major exchanges in 2026 further accelerated the protocol’s decline in activity. Key details: • Loopring will permanently shut down its DEX and AMM. • Trading services and the relayer will cease operations immediately. • The protocol never implemented compatibility with the Ethereum Virtual Machine (EVM). • The delisting of LRC from multiple exchanges contributed to the ecosystem’s deterioration. Context Protocol metrics clearly reflect its loss of relevance in the industry. Total value locked (TVL) dropped from a peak of nearly $760 million in November 2021 to approximately $8 million today—a decline of nearly 99%. Meanwhile, the LRC token fell from a near-all-time high of $3.75 to around $0.01. Additionally, Loopring had already announced the shutdown of its wallet service in July 2025 due to difficulties scaling its infrastructure. Loopring’s closure adds to an increasing list of projects that have ceased operations in 2026. According to RootData data, over 60 crypto protocols and companies have ended operations this year alone, reflecting the impact of the prolonged bear market and intensifying technological competition. Important notice: This information is based on Loopring’s official announcement and publicly available market data. It does not constitute investment advice. Crypto projects may lose relevance or cease operations. Always conduct your own research before making any decisions.