{"id":405804,"date":"2025-09-21T23:25:41","date_gmt":"2025-09-21T17:55:41","guid":{"rendered":"https:\/\/dripp.zone\/news\/movement-pivots-to-layer-1-as-on-chain-activity-declines-crypto-news\/"},"modified":"2025-09-21T23:29:58","modified_gmt":"2025-09-21T17:59:58","slug":"movement-pivots-to-layer-1-as-on-chain-activity-declines-crypto-news","status":"publish","type":"post","link":"https:\/\/dripp.zone\/news\/movement-pivots-to-layer-1-as-on-chain-activity-declines-crypto-news\/","title":{"rendered":"Movement Pivots to Layer 1 as On-Chain Activity Declines &#8211; Crypto News"},"content":{"rendered":"<p><\/p>\n<p>The Ethereum L2 is aiming for its own L1 launch, while on-chain data shows falling transaction activity.<\/p>\n<div>\n<p>Movement, an Ethereum Layer 2 (L2) blockchain whose co-founder was <a rel=\"nofollow\" target=\"_blank\" href=\"https:\/\/thedefiant.io\/news\/people\/ousted-movement-labs-co-founder-sues-startup-in-delaware-court\" target=\"__blank\" rel=\"noopener noreferrer \">involved in controversy<\/a> and ousted earlier this year, said it plans to launch its own <a rel=\"nofollow\" target=\"_blank\" href=\"https:\/\/thedefiant.io\/tag\/layer-1\" target=\"__blank\" rel=\"noopener noreferrer \">Layer 1<\/a> blockchain while its current on-chain activity is showing a gradual decline.<\/p>\n<p>In <a rel=\"nofollow\" target=\"_blank\" href=\"https:\/\/x.com\/moveindustries\/status\/1967982472483967145\" target=\"__blank\" rel=\"noopener noreferrer \">an X announcement<\/a> on Tuesday, Sept. 16, Move Industries, the team behind the project, said that the network has \u201chit our ceiling as a sidechain,\u201d arguing that moving from being an L2 on Ethereum to its own independent Layer 1 would boost performance to \u201c10k+ TPS at sub-second latency.\u201d<\/p>\n<p>The team also promised native <a rel=\"nofollow\" target=\"_blank\" href=\"https:\/\/thedefiant.io\/tag\/staking\" target=\"__blank\" rel=\"noopener noreferrer \">staking<\/a>, validator-based security and an upgrade to \u201cMove 2,\u201d an updated version of its programming language.<\/p>\n<p>Movement is built on the Move smart contract programming language, originally developed by Meta and <a rel=\"nofollow\" target=\"_blank\" href=\"https:\/\/thedefiant.io\/news\/blockchains\/movement-launches-public-mainnet-beta-bringing-move-language-o-ethereum-layer-2s\" target=\"__blank\" rel=\"noopener noreferrer \">touted<\/a> for its security and performance. <\/p>\n<p>\u201cWhen we diligently surveyed our builders and community, we realized that the original architecture\/framework was not tenable for what we have set out to accomplish. We are no longer chasing \u201calignment\u201d, we are pursuing the optimal Move builder and user experience,\u201d Torab Torabi, CEO of Move Industries, said in <a rel=\"nofollow\" target=\"_blank\" href=\"https:\/\/x.com\/torabyou\/status\/1967984688485765503\" target=\"__blank\" rel=\"noopener noreferrer \">an X post<\/a> the same day.<\/p>\n<p>But on-chain figures indicate that network usage has been declining over the past few months. Data from Token Terminal <a rel=\"nofollow\" target=\"_blank\" href=\"https:\/\/tokenterminal.com\/explorer\/projects\/movement\/metrics\/transaction-count\" target=\"__blank\" rel=\"noopener noreferrer \">shows<\/a> that monthly transaction counts have been dropping since June, when they reached 7.3 million. By August, transactions had fallen to 4.8 million, a 34% drop.<\/p>\n<figure><figcaption class=\"text-center text-xs\">Monthly transaction count on Movement. Source: Token Terminal<\/figcaption><\/figure>\n<p>Since its <a rel=\"nofollow\" target=\"_blank\" href=\"https:\/\/thedefiant.io\/news\/blockchains\/movement-launches-public-mainnet-beta-bringing-move-language-o-ethereum-layer-2s\" target=\"__blank\" rel=\"noopener noreferrer \">debut as an Ethereum L2 in late 2024<\/a>, Movement has processed a total of 26.7 million transactions, placing it just above Celestia, with 19.3 million, but behind peaq at 29 million and Polkadot with 44.3 million transactions over the last 365 days, per Token Terminal. <\/p>\n<figure><img alt=\"the-defiant\" loading=\"lazy\" width=\"1128\" height=\"349\" decoding=\"async\" data-nimg=\"1\" class=\"mx-auto\" style=\"color:transparent;background-size:cover;background-position:50% 50%;background-repeat:no-repeat;background-image:url(\"data:image\/svg+xml;charset=utf-8,%3Csvg xmlns='http:\/\/www.w3.org\/2000\/svg' viewBox='0 0 1128 349'%3E%3Cfilter id='b' color-interpolation-filters='sRGB'%3E%3CfeGaussianBlur stdDeviation='20'\/%3E%3CfeColorMatrix values='1 0 0 0 0 0 1 0 0 0 0 0 1 0 0 0 0 0 100 -1' result='s'\/%3E%3CfeFlood x='0' y='0' width='100%25' height='100%25'\/%3E%3CfeComposite operator='out' in='s'\/%3E%3CfeComposite in2='SourceGraphic'\/%3E%3CfeGaussianBlur stdDeviation='20'\/%3E%3C\/filter%3E%3Cimage width='100%25' height='100%25' x='0' y='0' preserveAspectRatio='none' style='filter: url(%23b);' href='data:image\/jpeg;base64,\/9j\/2wBDAAYEBQYFBAYGBQYHBwYIChAKCgkJChQODwwQFxQYGBcUFhYaHSUfGhsjHBYWICwgIyYnKSopGR8tMC0oMCUoKSj\/2wBDAQcHBwoIChMKChMoGhYaKCgoKCgoKCgoKCgoKCgoKCgoKCgoKCgoKCgoKCgoKCgoKCgoKCgoKCgoKCgoKCgoKCj\/wAARCAADAAoDASIAAhEBAxEB\/8QAFgABAQEAAAAAAAAAAAAAAAAAAAEI\/8QAGBABAQADAAAAAAAAAAAAAAAAAAEDIzH\/xAAUAQEAAAAAAAAAAAAAAAAAAAAA\/8QAFBEBAAAAAAAAAAAAAAAAAAAAAP\/aAAwDAQACEQMRAD8AzVnuyrOAD\/\/Z'\/%3E%3C\/svg%3E\")\" srcset=\"\/_next\/image?url=https%3A%2F%2Fcdn.thedefiant.io%2Fpasted-1758289890894-png-cbe2e414-b086-4339-9a89-e5ad3cb2055a.png&#038;w=1200&#038;q=100 1x, \/_next\/image?url=https%3A%2F%2Fcdn.thedefiant.io%2Fpasted-1758289890894-png-cbe2e414-b086-4339-9a89-e5ad3cb2055a.png&#038;w=3840&#038;q=100 2x\" src=\"https:\/\/thedefiant.io\/_next\/image?url=https%3A%2F%2Fcdn.thedefiant.io%2Fpasted-1758289890894-png-cbe2e414-b086-4339-9a89-e5ad3cb2055a.png&#038;w=3840&#038;q=100\"\/><figcaption class=\"text-center text-xs\">Blockchains by transactions in the past year. Source: Token Terminal<\/figcaption><\/figure>\n<p>In its X thread this week, Move Industries said that launching as an L1 would mean \u201cno centralized sequencer\u201d and that \u201cnobody can stake locked tokens,\u201d adding that the transition would be seamless for users as \u201cthe network&#8217;s state, off-chain storage, and on-chain framework will be migrated.\u201d<\/p>\n<p>The timeframe for the transition remains unclear, as Movement is initially preparing an L1 developers network, per the X thread. The Defiant reached out to Move Industries, but has not heard back by press time.<\/p>\n<h2>Controversial Co-Founder<\/h2>\n<p>The transformation comes just two months after Rushi Manche, a co-founder of Movement Labs, <a rel=\"nofollow\" target=\"_blank\" href=\"https:\/\/thedefiant.io\/news\/people\/ousted-movement-labs-co-founder-sues-startup-in-delaware-court\" target=\"__blank\" rel=\"noopener noreferrer \">sued<\/a> the project, following his suspension and termination this spring over an alleged market-making deal that reportedly triggered a MOVE token price drop.<\/p>\n<p><a rel=\"nofollow\" target=\"_blank\" href=\"https:\/\/thedefiant.io\/prices\/movement\" target=\"__blank\" rel=\"noopener noreferrer \">MOVE<\/a> is down over 90% from its all-time high, which it reached in December 2024, shortly after launching. <\/p>\n<figure><img alt=\"the-defiant\" loading=\"lazy\" width=\"1600\" height=\"1168\" decoding=\"async\" data-nimg=\"1\" class=\"mx-auto\" style=\"color:transparent;background-size:cover;background-position:50% 50%;background-repeat:no-repeat;background-image:url(\"data:image\/svg+xml;charset=utf-8,%3Csvg xmlns='http:\/\/www.w3.org\/2000\/svg' viewBox='0 0 1600 1168'%3E%3Cfilter id='b' color-interpolation-filters='sRGB'%3E%3CfeGaussianBlur stdDeviation='20'\/%3E%3CfeColorMatrix values='1 0 0 0 0 0 1 0 0 0 0 0 1 0 0 0 0 0 100 -1' result='s'\/%3E%3CfeFlood x='0' y='0' width='100%25' height='100%25'\/%3E%3CfeComposite operator='out' in='s'\/%3E%3CfeComposite in2='SourceGraphic'\/%3E%3CfeGaussianBlur stdDeviation='20'\/%3E%3C\/filter%3E%3Cimage width='100%25' height='100%25' x='0' y='0' preserveAspectRatio='none' style='filter: url(%23b);' href='data:image\/jpeg;base64,\/9j\/2wBDAAYEBQYFBAYGBQYHBwYIChAKCgkJChQODwwQFxQYGBcUFhYaHSUfGhsjHBYWICwgIyYnKSopGR8tMC0oMCUoKSj\/2wBDAQcHBwoIChMKChMoGhYaKCgoKCgoKCgoKCgoKCgoKCgoKCgoKCgoKCgoKCgoKCgoKCgoKCgoKCgoKCgoKCgoKCj\/wAARCAAHAAoDASIAAhEBAxEB\/8QAFgABAQEAAAAAAAAAAAAAAAAAAAEI\/8QAGBAAAwEBAAAAAAAAAAAAAAAAAAERAgP\/xAAVAQEBAAAAAAAAAAAAAAAAAAAAAv\/EABYRAAMAAAAAAAAAAAAAAAAAAAABEf\/aAAwDAQACEQMRAD8A0\/w0ueZaV7VAKgbp\/9k='\/%3E%3C\/svg%3E\")\" srcset=\"\/_next\/image?url=https%3A%2F%2Fcdn.thedefiant.io%2Fpasted-1758289891509-png-249b213e-6795-422e-ace9-00a81aaa4f4e.png&#038;w=1920&#038;q=100 1x, \/_next\/image?url=https%3A%2F%2Fcdn.thedefiant.io%2Fpasted-1758289891509-png-249b213e-6795-422e-ace9-00a81aaa4f4e.png&#038;w=3840&#038;q=100 2x\" src=\"https:\/\/thedefiant.io\/_next\/image?url=https%3A%2F%2Fcdn.thedefiant.io%2Fpasted-1758289891509-png-249b213e-6795-422e-ace9-00a81aaa4f4e.png&#038;w=3840&#038;q=100\"\/><figcaption class=\"text-center text-xs\">MOVE all-time price chart. Source: CoinGecko<\/figcaption><\/figure>\n<p>Last month, blockchain gaming ecosystem <a rel=\"nofollow\" target=\"_blank\" href=\"https:\/\/thedefiant.io\/tag\/ronin\" target=\"__blank\" rel=\"noopener noreferrer \">Ronin<\/a> announced that it was pivoting from a standalone sidechain back to Ethereum as an L2, as monthly transaction count declined and its total value locked remained 95% below its pre-exploit peak.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>The Ethereum L2 is aiming for its own L1 launch, while on-chain data shows falling transaction activity. Movement, an Ethereum Layer 2 (L2) blockchain whose co-founder was involved in controversy and ousted earlier this year, said it plans to launch its own Layer 1 blockchain while its current on-chain activity is showing a gradual decline. [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":405806,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[274,273,272,244,266,271,268,270,269,267],"class_list":["post-405804","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-de-fi","tag-crypto-finance","tag-decentralized-finance","tag-liquidity","tag-metamask","tag-pancake","tag-slippage","tag-sushiswap","tag-tronlink","tag-trust-wallet","tag-uniswap"],"_links":{"self":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/405804","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/comments?post=405804"}],"version-history":[{"count":1,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/405804\/revisions"}],"predecessor-version":[{"id":405807,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/405804\/revisions\/405807"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media\/405806"}],"wp:attachment":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media?parent=405804"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/categories?post=405804"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/tags?post=405804"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}