Layer-2 network ZKSync has announced that it will be sunset in the Ignite program that rewarded users for providing liquidity due to Bearish market conditions.

“After careful consideration, the Defi Management Committee (DSC) has decided not to renew Ignite for Season 2 and will sunset in the program from March 17, 2025 by turning off rewards in period 6,” posted Zksync on X.

It added that the long-term vision is centered around the elastic network composed of several chains in the ZKsync ecosystem.

“Unfortunately, we are navigating in a bearish market right now. In line with many other ecosystems, ZKSync has decided to be more conservative with short -term consumption in the middle term in response to these developing conditions,” it added. “To remain sustainable, we tighten our focus and use smarter instead of fighting headwinds.”

Total Value Locked (Tvl) at Zksync is down by about 50% since January 30, as the wider crypto market struggles with a correction that has seen Bitcoin and Ether loses 13% and 27% of their respective market sheaths in the last month.

Zksync’s native token (ZK) is thrown by 35% in the same period.