Latest Swell Network (SWELL) News Update

Deep Dive

1. Bithumb Multichain Support (31 July 2025)

Overview:
Bithumb enabled SWELL deposits/withdrawals on both Ethereum and Swellchain, enhancing interoperability for South Korea’s crypto hub. The integration reduces gas fees for Swellchain users and broadens DeFi utility (lending, yield farming).

What this means:
This is bullish for SWELL as Bithumb’s rigorous due diligence adds credibility, likely attracting institutional interest. Cross-chain liquidity could stabilize prices, though user education gaps pose short-term risks. (CoinMarketCap)

2. U.S. Staking Access Restored (8 August 2025)

Overview:
Swell lifted geofencing restrictions for U.S. users, allowing unrestricted staking and restaking of swETH. The move followed regulatory clarity from the GENIUS Act (July 2025).

What this means:
This is neutral-to-bullish, reopening a key market but exposing Swell to stricter U.S. compliance demands. Retail inflows could boost TVL, now at $180M as of 12 August. (Swell Network)

3. Coinbase Wallet Exploit (14 August 2025)

Overview:
A misconfigured 0x contract approval let an MEV bot drain $300K in SWELL from Coinbase’s corporate wallet. SWELL was among tokens approved before the exploit.

What this means:
This is bearish for sentiment but limited in impact—no user funds were compromised. The incident highlights risks of unchecked smart contract permissions, potentially pressuring Swell to audit partner integrations. (Cointelegraph)

Conclusion

Swell’s strategic moves (Bithumb integration, U.S. access) aim to capitalize on altcoin season momentum, but security vulnerabilities remind investors of DeFi’s Wild West edges. Will Swellchain’s growth offset lingering trust concerns?

Deep Dive

1. @swellnetworkio: Swellchain TVL Hits $180M – Bullish

"Swellchain Stats 🌊⛓️: $180M TVL, 14k+ bridgers, $22.4M SWELL bridged"
– @swellnetworkio (62.3K followers · 1.2M impressions · 12 August 2025 02:59 UTC)
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What this means: This is bullish for SWELL because TVL growth (+62% since July 8) signals strong protocol adoption, with bridged SWELL assets rising from $16.8M to $22.4M in 35 days.

2. @swellnetworkio: U.S. Staking Restrictions Removed – Neutral

"Good news for Americans: Geofencing removed – stake/restake freely"
– @swellnetworkio (62.3K followers · 887K impressions · 8 August 2025 02:32 UTC)
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What this means: This is neutral for SWELL – while expanding access could increase staking participation, the timing aligns with SWELL’s -39% 60-day price decline, suggesting demand concerns.

3. CoinMarketCap: Bithumb Adds SWELL Multichain – Bullish

Bithumb enables SWELL deposits/withdrawals on Ethereum and Swellchain
– CoinMarketCap Article (31 July 2025 05:55 UTC)
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What this means: This is bullish because Bithumb’s integration improves SWELL’s liquidity profile (South Korea accounts for 8-12% of global crypto volume) and enables cross-chain DeFi utility.

4. CoinMarketCap: SWELL in RSI Overbought Zone – Bearish

"RSI Overbought(15m): SWELL $0.0092 (73.44)"
– CMC Community Post (2 August 2025 07:31 UTC)
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What this means: This is bearish short-term – SWELL’s 15-minute RSI above 70 occurred during a -6% intraday drop, suggesting overextension despite broader market neutrality (Fear & Greed Index 48).

Conclusion

The consensus on SWELL is mixed, balancing strong fundamentals (TVL growth, Bithumb integration) against technical warnings (RSI signals) and ecosystem risks (used in June’s $50M Telegram scam). Watch Swellchain’s TVL trajectory post-Bithumb integration – sustained $180M+ levels could signal renewed institutional interest against altcoin season headwinds.

Deep Dive

1. Multichain Support (31 July 2025)

Overview: Swell integrated multichain functionality, allowing SWELL tokens to move between Ethereum and Swellchain via Bithumb. This reduces reliance on Ethereum’s gas fees and enhances cross-chain DeFi use cases.

Swellchain’s architecture prioritizes efficiency, offering lower transaction costs compared to Ethereum. Users can now bridge assets like weETH, pzETH, and rswETH, improving liquidity across chains.

What this means: This is bullish for SWELL because it broadens utility for decentralized lending, borrowing, and yield farming. Users gain flexibility to choose networks based on cost or ecosystem needs. (Source)

2. U.S. Geofencing Removal (8 August 2025)

Overview: Swell eliminated geographic restrictions for U.S. users, enabling unrestricted staking and restaking.

The update required backend adjustments to remove IP-based blocking mechanisms. This aligns with Swell’s push for global accessibility and follows regulatory clarity in key markets.

What this means: This is neutral-to-bullish for SWELL because it opens the protocol to a large user base but introduces regulatory scrutiny risks. Increased participation could boost TVL, which stood at $180M as of 12 August 2025. (Source)

3. New Architecture Launch (April 2025)

Overview: Swell deprecated its NFT-based staking model and introduced swETH, a single liquid staking token, alongside a staking pool system with institutional-grade node operators.

The overhaul included a guarded mainnet launch with capped deposits (256 ETH initially) and audits to ensure security. Existing users were migrated automatically, avoiding fragmentation.

What this means: This is bullish for SWELL because swETH’s fungibility improves liquidity and DeFi composability. The shift to a permissionless, decentralized node network also strengthens long-term viability. (Source)

Conclusion

Swell’s recent updates emphasize cross-chain flexibility, regulatory adaptation, and staking efficiency. The removal of U.S. restrictions and multichain support position SWELL for broader adoption, while swETH’s architecture aligns with Ethereum’s restaking trends. How will Swell’s Layer 2 rollup (built with Polygon’s zkEVM) further amplify these developments?

Deep Dive

1. Swell L2 Mainnet Launch (Q4 2025)

Overview:
Swell’s Ethereum Layer 2, built with AltLayer and EigenDA, is set for mainnet release. The chain will leverage restaked ETH (rswETH) to secure its infrastructure via EigenLayer’s Actively Validated Services (AVS). Recent testnet data shows $180M+ TVL bridged, with protocols like Lyra (derivatives) and GammaSwap (perpetual options) confirmed for deployment.

What this means:
This is bullish for SWELL as mainnet adoption could drive demand for rswETH (Swell’s liquid restaking token), directly tied to SWELL’s utility. Risks include delays in AVS audits or EigenLayer’s slashing mechanisms going live.

2. Next Wavedrop Airdrop (Late 2025)

Overview:
Following the Voyage campaign, Swell City’s “Wavedrops” will distribute 7.5% of SWELL’s total supply to users providing liquidity on Swell L2. The first post-TGE Wavedrop is expected within weeks, targeting swETH/rswETH holders and L2 liquidity providers.

What this means:
Neutral-to-bullish – while airdrops may incentivize short-term participation, dilution risks exist if large holders sell allocations. The loyalty bonus for long-term stakers (introduced in the Voyage) could mitigate sell pressure.

3. AVS Security Expansion (2026)

Overview:
Swell plans to integrate additional AVS modules to decentralize core L2 functions like sequencing and data availability. Partnerships with Symbiotic and EigenLayer aim to create a self-reinforcing security model where rswETH secures Swell L2 while earning restaking yields.

What this means:
Bullish long-term – successful AVS adoption would position Swell as a leader in restaking-driven L2s. However, competition from EigenDA-native chains like NearDA and Celestia-based rollups remains a threat.

Conclusion

Swell’s roadmap prioritizes turning its L2 into a restaking-powered DeFi hub, with SWELL acting as both governance and security token. Key milestones hinge on EigenLayer’s ecosystem maturity and Swell’s ability to attract developers. How might SWELL’s dual role in governance and security impact its valuation compared to pure governance tokens like UNI?