Welcome to The Protocol, CoinDesk’s weekly roundup of the most important stories in cryptocurrency technology development. My name is Margaux Nijkerk, journalist at CoinDesk.
In this issue:
- ZKsync proposal aims to tie ZK token to network revenue
- Olas unveils Pearl v1, the first “AI Agent App Store”
- Ethereum Developers Lock Fusaka Upgrade for December 3 with PeerDAS Rollout
- Graph builders Edge and Node unveil ‘ampersend’ dashboard to manage AI agent payments
Network News
ZKSYNC TOKENOMICS CHANGE PROPOSAL: The creator of the Ethereum layer 2 network, ZKsync, has presented a proposal to transform its ZK token from a governance instrument into one with real economic utility. The proposal, “From Governance to Utility: ZK Token Proposal, Part I,” posted by Alex Gluchowski on the ZKsync community forum, describes how network usage and enterprise licensing could directly inject value back into the token economy. This move could change how ZKsync’s ecosystem will generate and distribute value. Instead of ZK functioning solely as a token of governance, the proposal would ensure that network activity, such as interoperability and enterprise usage, directly influences its economics. The proposal argues that the network’s growing ecosystem, which now includes modular chains, private “Privium” networks, and a cross-chain interoperability layer known as the Elastic Chain, needs a token model that scales with it. “The ZK token began as a governance tool,” the post reads. “Through governance, it can now become the heart of an incorruptible economy. » Under this plan, ZKsync would introduce two main revenue streams. The first would come from onchain interoperability fees, charged when users move assets or messages between ecosystem rollups. The second would be off-chain licensing revenue from enterprise tools such as compliance or reporting modules tailored to institutions relying on the protocol. — Margaux Nijkerk Learn more.
OLAS UNVEILS THE FIRST AI AGENT APP STORE: Olas unveiled Pearl v1, a decentralized “AI agent app store” that allows users to own and operate autonomous AI agents, combining, he says, the ease of Web2 with the self-sovereignty of Web3. Unlike centralized AI platforms that rent access to users, Pearl offers full control and transparency: every action of the agent is verifiable on-chain. Users can start with familiar credentials like Google or Apple, fund agents through a card, and retain full data. Built on the principles of ownership, curation, and transparency, Pearl offers a growing library of agents for financial, creative, and social use cases. The introduction follows a successful beta where Modius, a decentralized financial trading agent, achieved over 150% ROI in 150 days. “Centralized infrastructure has achieved global reach and performance, but this focus means that decisions or errors can rob users of their data and work. That’s why ownership is so important,” David Minarsch, founding member of Olas, said in the release. — Will Canny Learn more.
FUSAKA ON ETHEREUM MAINNET INKED IN: Ethereum developers officially signed off on the long-awaited Fusaka upgrade for December 3 during the network’s bi-weekly coordination call. The decision starts the countdown to the second Ethereum hard fork of 2025. The main feature of the upgrade is PeerDAS. PeerDAS, one of 12 enhancements included in the release, allows validators to verify only parts of data, rather than entire “blobs,” significantly reducing bandwidth requirements and costs for validators and Layer 2 networks. This will make Ethereum faster and cheaper, both for users transacting and for developers relying on the network. The decision was finalized in All Core Developers Consensus Layer (ACDC) Call #168, just two days after the upgrade was successfully deployed to Hoodi, the third and final testnet, without any issues. The upgrade will activate on the Ethereum mainnet when the blockchain reaches location 13,164,544, which is expected to occur at 9:49 p.m. UTC on December 3. Margaux Nijkerk Learn more.
EDGE & NODE RELEASED WITH AMPERSEND: Edge & Node, the team that created The Graph, launched ampersenda management platform to coordinate the operation and transactions of autonomous AI agents, the company said. Built on Coinbase’s x402 payments protocol and Google’s A2A communications framework, ampersend adds automation, observability, and compliance controls to what has become known as the “agentic economy.” As AI agents begin to manage payments, data and communications on behalf of users and organizations, the lack of standardization has made their operations difficult to monitor. Coinbase released x402, its agent payment protocol earlier this year. It is an open source system that allows instant stablecoin payments on any website. The addition of ampersend offers a single dashboard where businesses can set spending limits, manage policies, and track activity across networks. Edge & Node developed the platform alongside Coinbase, Google and the Ethereum Foundation decentralized AI team. The system also integrates with emerging Ethereum standards like ERC-8004, designed for agent discovery and reputation tracking. – Ian Allison Learn more.
In Other news
- Cryptocurrency exchange Gemini (GEMI) plans to enter the prediction market business, Bloomberg reported. The exchange founded by Cameron and Tyler Winklevoss discussed unveiling the products as soon as possible, according to the report, citing people familiar with the matter. Gemini, which became a publicly traded company on the Nasdaq Global Select Market in September, plans to enter a sector that has grown in popularity over the past year. Market leaders such as Polymarket and Kalshi rose to prominence during the 2024 US election campaign, during which more than $8 billion in bets were made on the former’s platform. This has prompted a range of other companies in the finance, technology and media sectors to target their entry into the market. Trump Media & Technology Group (DJT), the parent company behind President Donald Trump’s social platform Truth Social, announced plans last month to roll out prediction markets in partnership with Crypto.com. — Jamie Crawley Learn more.
- The US Treasury has imposed new sanctions on a group of North Korean bankers and institutions accused of laundering millions of dollars in cryptocurrency linked to cyberattacks and illicit IT projects that help finance Pyongyang’s weapons programs. The Office of Foreign Assets Control (OFAC) said eight individuals and two entities had been designated for “laundering funds derived from cybercrime and information technology worker fraud,” including proceeds related to ransomware and cryptocurrency thefts. “North Korean state-sponsored hackers are stealing and laundering money to finance the regime’s nuclear weapons program,” Treasury Undersecretary for Terrorism and Financial Intelligence John K. Hurley said in a press release. — Olivier Chevalier Learn more.
Regulation and policy
- Former FTX CEO Sam Bankman-Fried’s chances of getting a new trial appear to be dwindling, judging by pointed questions asked by an appeals court during a hearing in Manhattan. Bankman-Fried’s push for a new trial rests largely on her long-standing argument that because the majority of FTX’s creditors were released in the bankruptcy process — which relied largely on the sale of illiquid assets, including real estate and venture capital investments — there was in fact no actual theft. During defense lawyer Alexandra Shapiro’s presentation, appeals judges intervened several times to question her arguments. “There is a right to present evidence as to his intent, absolutely, but I don’t understand what you’re saying about that. [being] “It’s objective corroboration, whereas the objective corroboration seems to be that after the bankruptcy, more money was made,” Circuit Judge Eunice Lee said. When Shapiro responded by saying it was clear at the time of the bankruptcy that there were “very valuable assets in the FTX estate that supported Mr. Bankman-Fried’s view that [FTX and Alameda Research] were solvent,” pushed back another judge, Circuit Judge Maria Araújo Kahn, saying, “But [Bankman-Fried’s] the misrepresentations were not about solvency, but about liquidity… part of the government’s theory of the case is that the defendant made false representations to investors that their money was safe, that it was not being used in the way the government claimed it was, and as the jury agreed, it was in fact used. So it wasn’t a question of solvency, was it? It was a question of liquidity, whether they could get their money if they asked for it. — Cheyenne Ligon Learn more.
- President Trump reiterated his claim that he did not know who Binance founder Changpeng “CZ” Zhao was during an interview with CBS News. Trump granted Zhao a presidential pardon in October, nearly a year after the executive pleaded guilty to violating the Bank Secrecy Act and served a four-month prison sentence. Trump told CBS’ Norah O’Donnell that Zhao “has been treated very poorly by the Biden administration,” describing the former Binance CEO as a “victim of weaponization by the government.” The president said he was told that Zhao “had been framed” and that his pardon was intended to ensure that the United States remained competitive in the cryptocurrency sector. “I don’t know this man at all. I don’t think I’ve ever met him,” Trump said during the CBS interview. “Maybe I did. Or, you know, someone shook my hand or something. But I don’t think I ever met him. I have no idea who he is. I was told he was a victim, just like me and like a lot of other people.” During the CBS interview, Trump dismissed questions about conflicts of interest, emphasizing his goal of keeping the United States “number one in cryptography” and insisting that his sons’ business ventures were separate from the government. — Sam Reynolds Learn more.
Calendar
- November 17-22: Devconnect, Buenos Aires
- December 11-13: Solana Breakpoint, Abu Dhabi
- February 10-12, 2026: Consensus, Hong Kong
- February 17-21, 2026: EthDenver, Denver
- March 30-April. 2, 2026: EthCC, Cannes
- April 15-16, 2026: Paris Blockchain Week, Paris
- May 5-7, 2026: Consensus, Miami
