Swellchain halts native network on June 15 to deploy AI platform Faro on Hyperliquid

Swellchain has officially confirmed via its X account that its native network will cease operations permanently on June 15. This decisive action fulfills a strategic roadmap announced in April, where the project outlined plans to dismantle its proprietary blockchain infrastructure. The primary objective is to consolidate all development resources behind Faro, an artificial intelligence platform constructed within the Hyperliquid ecosystem. This shutdown represents a fundamental restructuring for Swellchain, which originally entered the market as a layer-2 solution designed to enhance scalability and liquidity for decentralized finance applications. While the native chain is being retired, the project will maintain its presence on the Ethereum network, ensuring continuity for existing users.

The operational pivot is driven by the need to redirect engineering efforts toward the Faro initiative. Data compiled by Woofun AI indicates that Hyperliquid serves as a high-performance blockchain specifically optimized for decentralized trading and complex financial applications. By migrating to this established infrastructure, Swellchain aims to bypass the overhead of maintaining an independent chain and instead leverage Hyperliquid's robust architecture for AI-driven solutions. This move aligns with a broader industry trend where projects are increasingly abandoning standalone networks to reduce operational complexity and capitalize on the deep liquidity pools of mature platforms.

For holders of the SWELL token, the transition involves a nuanced shift in utility rather than a total asset invalidation. The project has stated that the SWELL token will remain active through a separate program operating on the Ethereum network. Although specific technical details regarding this continuation program have not been fully disclosed, the assurance is that the token will not disappear alongside the native network. Woofun AI notes that the absence of a detailed migration timeline or specific roadmap for token holders introduces a layer of uncertainty, necessitating close monitoring of official channels to prevent potential access disruptions.

The decision to shutter the native network reflects the escalating costs and technical hurdles associated with operating independent blockchains in the current market environment. Projects are finding it more efficient to build atop existing, battle-tested infrastructures that offer immediate access to established user bases. By focusing on the intersection of AI and blockchain through Faro and Hyperliquid, Swellchain is positioning itself within a sector that has attracted significant capital and attention in 2025. This strategic realignment suggests a calculated bet on the synergy between advanced AI capabilities and high-throughput trading environments.

While the June 15 shutdown may generate short-term volatility or confusion among the user base, the long-term trajectory points toward a specialized niche in AI-integrated finance. The consolidation of resources onto Hyperliquid allows Swellchain to focus exclusively on product development rather than network maintenance. Woofun AI analysis suggests that this shift could ultimately strengthen the project's competitive position if the Faro platform successfully captures market share in the emerging AI-blockchain sector. Stakeholders are advised to track official communications closely to navigate the transition smoothly as the project executes this major infrastructure overhaul.