Status Network Launches World’s First Gasless Layer-Two on Testnet

Generated by AI AgentCoin World
Wednesday, Jul 9, 2025 4:00 pm ET2min read

Status, a pioneer in decentralized communication since 2017, has launched the world’s first natively gasless layer-two on testnet, built on Consensys’ Linea stack, the leading high-performance zkEVM rollup. This marks a significant milestone for

scalability and sustainability as Status Network introduces a new revenue model that eliminates transaction fees entirely. Instead, the network funds builders and liquidity providers through bridged yield and native app fees.

Cyprien Grau, lead at Status Network, highlighted the innovative design of the network, stating that it allows developers to create games, seamless social experiences, and DeFi protocols without forcing users to preload gas or builders to manage paymaster contracts. By rehypothecating yield-bearing TVL and sharing every cent of net yield with the community, Status Network aligns incentives for all layer-two stakeholders. Builders get funding, liquidity providers get sustainable returns, and users enjoy a true free-to-play blockchain experience.

Status Network carries forward the founding principles of the original Status app: privacy, sovereignty, and open access. It is designed as a seamless, high-performance platform where communities can exchange, build, and govern freely. The network's business model is built for the next decade, focusing on yield rather than gas. Bridged ETH and stablecoins are converted into yield-bearing equivalents, and the protocol captures that yield along with fees from native apps, rather than relying on sequencer revenues.

The ongoing development of Status layer-two follows the vision laid out in the original Status whitepaper and was initiated through a community vote by

holders, alongside the SNT staking initiative. Through its built-in public funding pool, Status Network will fund open-source protocols and public goods building on Ethereum. As Linea’s first external collaborator, Status is co-developing the bridged yield feature, which will soon be available to all Linea-based layer-twos, further contributing to the zkEVM stack’s long-term sustainability.

Status will also play a crucial role in both the Linea and broader Ethereum ecosystems. Declan Fox, head of Linea, expressed pride in seeing Status Network launch the first gasless layer-two powered by the Linea zkEVM technology stack. He emphasized that Status supports builders and public goods while providing free transactions at scale, aligning with Ethereum’s core values. With the Linea stack’s high throughput, low latency, and fast finality, it enables the performance needed for apps to grow, thrive, and get funded while anchoring into the same root of trust as Ethereum.

With fees replaced by native yield, users can interact with apps without needing to bridge tokens or top up gas, creating a frictionless experience. Games can finally deliver true free-to-play mechanics and support non-financial onchain actions without maintaining gas-sponsoring infrastructure. Social apps benefit from streamlined user onboarding and Web 2.0-like UX, and DeFi protocols tap into yield-boosted liquidity from day one. Early builders include mobile fishing RPG Cats Fishing, free on-chain gacha PonziHero from Spla Labs, and metaverse casino Hash Vegas. Native DeFi apps will be announced in the coming weeks.

As anyone can get started without a wallet balance or history, gasless transactions strongly enhance account anonymity, enabling better privacy for transfers and applications. Status Network’s public testnet version one is now live with fully gasless transactions. Testnet version two, featuring RLN-based spam protection and native yield routing, launches in October 2025, alongside a pre-deposit campaign to kickstart the bridged yield. Mainnet launch is targeted for Q1 2026. Developers can start building today.

Status Network is the first Ethereum layer-two with gas-free transactions at scale. Funded by native yield and app fees, it redistributes 100% of net revenues to its community, powering sustainable liquidity incentives, a public funding pool, and SNT buy-backs. Built on the Linea zkEVM stack, it enables frictionless onboarding for games, social apps, and DeFi while remaining fully aligned with Ethereum security and values.