Forecast Trend Report by Period
Ronin, a gaming-focused blockchain, will shut down its standalone sidechain and transition to an Ethereum-based layer-2 network. The move is being viewed as an effort to bolster security and improve the network’s structure after a major bridge hack.
Ronin plans to make the switch through a hard fork on May 12, CoinDesk reported on May 11.
The upgrade will occur at block height 55,577,490, and the network will be offline for about 10 hours, according to Ronin.
During the outage, all transactions on the Ronin network and on-chain gaming activity will be temporarily suspended. Ronin urged users to complete any necessary transactions and in-game tasks in advance.
Ronin began as the blockchain for Axie Infinity and later grew into a gaming-focused network. In 2022, it suffered a bridge hack worth about $625 million, one of the biggest hacks in decentralized-finance history.
As part of the transition, Ronin will adopt an OP Stack-based structure. The goal is to tap Ethereum’s security while maintaining high throughput.
Ronin will also introduce a new Proof of Distribution model. Instead of distributing simple staking rewards, the system will allocate rewards based on actual contributions to the network.
Ronin said token inflation will drop to below 1% from more than 20%. It described the change as fundamentally positive for the RON token.
After the upgrade, 90 million RON previously earmarked for staking rewards will be transferred to the Ronin Treasury. Marketplace fees will also increase to 1.25% from 0.5%.
RON’s market capitalization is currently about $89.5 million. The token has climbed about 30% over the past 30 days amid optimism over the layer-2 transition, CoinDesk reported.
Minseung Kang
minriver@bloomingbit.ioBlockchain journalist | Writer of Trade Now & Altcoin Now, must-read content for investors.
