One of the widely adopted blockchains, Ethereum, is no exception. There have been multiple attempts to overcome this issue, and ZKSync is one of those solutions.
In this article, we will delve into what ZKSync is and how it aims to solve Ethereum’s scalability issue. We will cover its key features and discuss how the technology works under the hood.
What is ZKSync?
ZKSync is a Layer 2 scaling solution built on Ethereum. Its primary objective is to enhance Ethereum’s throughput by leveraging zero-knowledge proofs (ZKPs) to migrate most transactions off-chain while maintaining the decentralized and secure nature of the underlying blockchain.
ZKPs enable users to demonstrate ownership without revealing sensitive information. By using this cryptographic technique, ZKSync enables transactions off-chain without sacrificing security or decentralization.
Key Features of ZKSync:
1. Scalability – ZKSync drastically increases Ethereum’s transaction throughput from 15-45 transactions per second (TPS) to over 2000 TPS by utilizing optimistic rollups and ZKP-based side chains. This reduces congestion and transaction fees while ensuring near-instant transactions.
2. Security – ZKSync prioritizes security by inheriting Ethereum’s base-layer security level using zero-knowledge cryptography.
3. Low Transaction Costs – Due to its off-chain capabilities, ZKSync can significantly reduce transaction costs compared to on-chain operations in Ethereum.
4. Decentralization – Customizable user experience ensures that users can select which tokens they trust when holding their funds on ZKSync.
5. Transparency – Transactions on ZKSync are publicly available for anyone to inspect, which upholds transparency and trust in the platform.
6. Compatibility – ZKSync is designed to be future-proof, enabling compatibility with widely used Ethereum wallets and tools.
How ZKSync Works:
1. Account Creation – Each user has a specific account on ZKSync. The user creates an account by performing a deposit transaction from the Layer 1 Ethereum blockchain to Layer 2, moving their funds into the ZKSync network.
2. Off-Chain Transactions – Users can perform several transactions within the ZKSync network without interacting with the Ethereum blockchain. These transactions occur off-chain and are grouped together to limit the use of on-chain resources.
3. Zero-Knowledge Proofs – When users initiate transactions, ZKSync takes all these transactions and bundles them into a single proof called a zero-knowledge proof. This proof verifies that all bundled transactions are valid without disclosing any sensitive information.
4. Rollups – Optimistic rollups bundle multiple off-chain transactions into a single on-chain transaction, which results in reduced gas fees and increased throughput.
5. On-Chain Settlement – Once a zero-knowledge proof is generated for numerous transactions, it is submitted back to Layer 1 Ethereum for settlement, maintaining Ethereum’s security without congesting the network.
ZKSync is a promising solution that aims to resolve Ethereum’s scalability challenges by taking advantage of optimistic rollups and zero-knowledge proofs. If successful, it could enable greater mainstream adoption of decentralized applications (dApps) and drive innovation within the space. As more dApps continue to emerge on Ethereum, scaling solutions like ZKSync will play an essential role in ensuring that these platforms can efficiently support users’ needs while maintaining security and decentralization at their core.