Kross Protocol said on May 15 it signed a memorandum of understanding with H Lab, the crypto unit of Neowiz Holdings, to cooperate on network operations. Under the agreement, H Lab will join Kross Protocol as an independent validator node operator. Kross Protocol is preparing a June 1 mainnet 2.0 “Breakpoint” upgrade aimed at shifting to a participation-based network and expanding decentralisation and its global validator ecosystem.

David Schwartz, a former chief technology officer at Ripple, criticised the block production reward structures of Bitcoin and Ethereum, saying they can create distorted incentives rather than strengthen network security. He said both proof-of-work and proof-of-stake systems can push participants to prioritise profit maximisation, potentially conflicting with users. Schwartz argued XRP Ledger avoided these issues by excluding block rewards and relying on voluntary validation by those who benefit from network stability.