Linea Introduces First Ethereum Layer 2 with Native ETH Yield
The post Linea Introduces First Ethereum Layer 2 with Native ETH Yield appeared on BitcoinEthereumNews.com.
Linea Launches the Most Ethereum-Centric Layer 2 Yet Linea is rewriting the rules of Layer 2 design — not by mimicking Ethereum, but by becoming its most natural extension. In its latest announcements, Linea introduced a bold framework featuring native ETH yield, protocol-level ETH burn, and an Ethereum-native Consortium to manage the largest ecosystem fund in L2 history. With more than $100B in $ETH staked and over $25T in transaction volume, Ethereum is already the world’s dominant settlement layer. Now, Linea aims to accelerate Ethereum’s dominance by offering aligned economics, capital efficiency, and unparalleled developer incentives. First-Ever ETH Burn on a Layer 2 In a move that directly benefits the Ethereum mainnet, Linea becomes the first L2 to burn ETH at the protocol level. Specifically, 20% of all net transaction fees (paid in ETH) will be burned — permanently reducing ETH supply, supporting Layer 1 value accrual, and driving long-term ETH value. This mechanism is a first among rollups and highlights Linea’s commitment to reinforcing Ethereum’s economic model, not extracting from it. Bridged ETH Will Earn DeFi Rewards Unlike most L2s that idle bridged ETH, Linea introduces native ETH yield. ETH deposits on Linea will earn staking rewards, which are distributed to liquidity providers (LPs). LPs also benefit from returns across DeFi activity on the network, creating some of the best risk-adjusted returns in crypto. This means users no longer have to choose between capital efficiency and yield — Linea delivers both. A $100B Ecosystem Fund with Ethereum-Aligned Distribution Linea is also launching the largest L2 ecosystem fund to date — with 85% of tokens going to the community: 75% toward builders and ecosystem development 10% for early users 15% to the ConsenSys treasury, with a 5-year lockup There are no insider allocations. No private rounds. No value extraction. Just…
Filed under: News - @ July 29, 2025 8:27 pm