The Syndicate development company will gradually cease operations, and the governance of SYND will not be affected in the short term

The DAO infrastructure service provider Syndicate announced that it will gradually cease operations. It stated that after five years of continuous development of on-chain developer infrastructure, the Rollup market has undergone fundamental changes. Currently, the Rollup market size has significantly shrunk, with some Rollup projects gradually shutting down, and the market has shifted from EVM Rollups to custom chain models built from scratch by consulting teams, resulting in a significant decline in reusable technology and network value.

Syndicate stated that its system consists of two parts: Syndicate Labs, responsible for development, will shut down, while the independent entity Syndicate Network Collective (Wyoming DUNA), which holds SYND tokens and has governance rights, will continue to exist, and SYND governance will not be affected in the short term.

In addition, Syndicate emphasized that this decision to cease operations is unrelated to recent cross-chain security incidents, and affected users and SYND holders have received full compensation through treasury reserves, while team and investor tokens are still locked.