Ethereum layer-2 network Aztec launched its mainnet Wednesday, marking the debut of one of the few fully decentralized networks in the ecosystem, though with partial functionality at launch.
According to an Aztec email, the network has launched its “Ignition” mainnet chain. This chain is functional and capable of producing blocks, but it does not yet include the smart contract execution layer.
Data from L2Beat indicates that only the trustless, optimistic rollup network Facet v1 and Aztec’s former decentralized finance (DeFi) anonymization project, Zk.Money, are classified as Stage 2 systems with full decentralization.
Together with Facet, Aztec stands out as a protocol without centralized controls. The ownership of the rollup contract has been renounced, and Aztec itself is neither a rollup processor nor an operator. Users or third parties are responsible for running the rollup system to withdraw or transact.
In a communication to Aztec mailing list subscribers, the Aztec team emphasized that "neither the Aztec Foundation, core team, nor investors can run nodes, stake, or participate in governance for the next 12 months." The team further stated, "This makes Aztec the first community-launched L2 in Ethereum history."
Aztec had not responded to Cointelegraph’s request for comment by the time of publication.
Aztec Staking is Now Live
Aztec staking is now available to token holders, enabling them to participate in network consensus, earn block rewards, and influence governance decisions. The email suggests that early stakeholders will receive higher rewards because "early participants benefit from distributing block rewards amongst fewer stakers."
The staking dashboard indicates that 107.2 million AZTEC tokens are currently staked. Both investors and the development team are currently restricted from staking, suggesting these funds likely originate from the 200 million AZTEC tokens sold in the genesis sequencer sale. This sale was specifically targeted at whitelisted community members to bootstrap the mainnet.
The minimum stake amount, which also applies to delegated stakes, is 200,000 AZTEC. This is equivalent to approximately $6,000 at the current prices of the ongoing community-only Continuous Clearing Auctions phase. However, the tokens could be sold at higher prices than the current $0.03 per AZTEC if demand increases.
Ongoing Token Sale
Aztec is currently in the community-only whitelisted phase of its token sale. Since opening on November 13, it has attracted $2.77 million worth of assets from 2,209 unique bidders. This phase is scheduled to conclude on December 1, preceding the public sale, which will run from December 2 to December 6.
Tokens purchased during the sale will be subject to a lock-up period of at least 90 days, potentially extending up to 12 months, depending on community votes for early release. The sale aims to distribute 1.547 billion tokens, representing 14.95% of the total supply.
Aztec asserts that the token sale is being conducted at a 75% discount compared to the implied network valuation derived from previous fundraising efforts. According to ICO Drops data, Aztec successfully raised $2.1 million in its seed round, $17 million in its Series A, and $100 million in its Series B funding rounds. Notable backers include Ethereum co-founder Vitalik Buterin, Coinbase Ventures, Paradigm, Consensys, Andreessen Horowitz, and HashKey Capital, among others.
Despite these figures, Aztec’s own token sale disclaimer cautions that "any reference to a prior valuation or percentage discount is provided solely to inform potential purchasers of how the initial floor price for the token sale was calculated." The current floor price is set at 0.000010 ETH, approximately $0.03 per AZTEC, placing the project at a fully diluted valuation of $310 million. The disclaimer also states that unsold tokens "may be claimed back by the Foundation."
On December 6, a Uniswap pool comprising 273 million AZTEC (2.64% of the total supply) will become active to facilitate liquidity. Tokens acquired on the secondary market will not be subject to lock-up periods.