Financial Institutions Set to Migrate to Ethereum Layer 2s via Linea Technology

Linea is updating its terms of service ahead of launching **Linea Yield Boost**, a new approach that moves away from short-term token incentives. The update takes effect on March 28, 2026. **Key Changes:** - Bridged capital will be put to work at the protocol level - Focus on sustainable yield generation rather than temporary rewards - Full details on Yield Boost coming soon **Previous Context:** Linea has been building toward this with several initiatives: - Gas fee burns (20% for ETH, 80% for LINEA token) - Native yield for bridged ETH to fuel LP rewards - Institutional capital deployment ($200M+ from SharpLink Gaming) - Zero insider token unlocks to prevent sell pressure Users can [review the updated terms](https://linea.build/upcoming-terms-of-service?utm_source=twitter&utm_medium=social&utm_campaign=cmp-152625742-afbf08) before they take effect.

**Automatic Yield Generation** ETH bridged to Linea will now be automatically staked on Ethereum Mainnet through Lido V3 at the bridge level. **Key Features:** - ETH generates yield in the background during bridging - No changes to the user bridging experience - Seamless integration with Lido's staking infrastructure This integration means users can earn staking rewards on their bridged ETH without any additional steps or complexity in the bridging process.

Linea is updating its terms of service. The changes aim to clarify policies and protect users within the ecosystem. **Key Points:** - New terms of service taking effect - Updates build on previous policy clarifications from 2024 - Changes designed to protect valued customers Users should review the updated terms to understand how they may be affected. The modifications continue Linea's efforts to maintain a healthy ecosystem for developers and users of its Ethereum scaling solution.

Linea is contributing to the Enterprise Ethereum Alliance's Privacy Working Group to develop standards for privacy at scale on Ethereum. The initiative aims to: - Establish privacy standards for public blockchain networks - Give enterprises confidence to build on Ethereum - Enable scalable privacy solutions through standardization This follows recent efforts across Ethereum to coordinate privacy projects and advance cryptographic tools for secure scaling. The working group focuses on creating frameworks that allow businesses to leverage public networks while maintaining necessary privacy controls.

A new Ethereum Layer 2 upgrade delivers significant performance improvements for DeFi protocols and enterprise applications. **Key improvements include:** - Increased transactions per block enabling higher throughput - Tighter spreads on decentralized exchanges - Faster liquidation mechanisms for lending protocols - Enhanced execution density supporting high-frequency market making strategies - Institutional-grade capacity for enterprise deployments The upgrade builds on previous Ethereum improvements like Fusaka, which introduced cheaper L2 data costs through PeerDAS and increased block capacity through higher gas limits. These infrastructure enhancements aim to make Ethereum L2s more competitive with centralized exchanges in terms of execution speed and efficiency, while maintaining decentralization.