Ethereum Privacy Pioneer Zama’s Testnet Activity Signals Potential Airdrop Opportunity

Zama, an innovative platform bringing homomorphic encryption to ethereum and other public blockchains, has entered its testnet phase with strong indications of rewarding early participants through a potential token airdrop. The project, backed by $130 million in funding from heavyweight investors like Pantera Capital and Multicoin Capital, allows developers to create private smart contracts on public networks. Currently, testnet participants need a MetaMask wallet and can engage by requesting test ETH tokens among other activities. This development comes as the crypto community increasingly values privacy solutions in decentralized ecosystems, positioning Zama as a potentially significant player in Ethereum's scaling and privacy landscape. With the testnet live in July 2025, crypto enthusiasts are closely watching this project that could introduce new utility for ETH while advancing blockchain privacy technology.

Zama Testnet Guide Hints at Potential Airdrop for Participants

Zama, a platform enabling private smart contracts on public blockchains through homomorphic encryption, has raised $130 million from notable investors including Pantera Capital and Multicoin Capital. The project is currently active in testnet phase, with clear indications of a potential token airdrop for early participants.

The testnet requires a Metamask wallet and involves three key activities: requesting test ETH tokens, transferring them between addresses, and exchanging tokens in the Shield section. Participants are also encouraged to join the Guild for additional tasks and Discord for updates. These no-cost activities position users for potential rewards when the mainnet launches.

Zama's technology maintains data encryption during processing, with access restricted to authorized users. The project's Twitter account strongly suggests an impending token listing coinciding with mainnet launch, making current testnet participation strategically valuable for crypto enthusiasts.

Ethereum Surges Past $2,600 as Institutional Demand Reaches Record Levels

Ethereum broke through key resistance at $2,590, rallying 6.3% to $2,600 amid soaring institutional activity. Trading volume spiked 59.46% to $25.37 billion, reflecting growing market conviction.

June saw unprecedented accumulation with over 6 million ETH moved to non-exchange wallets. The total in accumulation addresses now stands at 22.7 million—a clear signal of long-term bullish positioning. Liquid staking simultaneously hit an all-time high of 35.5 million ETH, demonstrating alignment between retail and institutional investors.

Market dynamics reveal aggressive buying pressure, with spot taker volume showing consistent demand at higher prices. The 10.47% jump in Open Interest to $19.27 billion further confirms trader confidence. Short liquidations below $2,500 created additional upward momentum through a squeeze effect.