Ethereum Scaling Solution ZkSync Goes Onto Mainnet – ZK-Rollups The Answer To Scalability?

Transaction Fees

For instance, at the time of writing, a simple transfer of ERC-20 tokens from one wallet to another costs $23 on average. Similarly, a token swap on decentralized exchange Uniswap (UNI) costs north of $70 which is simply not feasible for an average user.

As a result, several competing layer-1 blockchains such as Solana, Avalanche, and others are witnessing a large number of users flock toward their ecosystem, primarily driven by cheaper transactions. However, this comes at a cost, i.e., compromising on decentralization which reminds us of the infamous blockchain trilemma (scalability, security, decentralization).

For the uninitiated, the blockchain trilemma says that for all blockchains, it is only possible to achieve 2 out of the 3 characteristics at any given time. In that regard, while Ethereum boasts of strong security and decentralization, it does not perform as well on the scalability part.

Accordingly, we are now witnessing a boom in Ethereum sidechains and layer-2 scaling solutions such as Polygon, Optimism, and Abitrum.

However, an upcoming and scaling solution that has lately grabbed everyone’s attention is zkSync, an Ethereum scalability platform that promises vastly cheaper transactions without compromising on security and user privacy.

So, what is zkSync and does it hold the potential to finally make Ethereum usable for all? We explore this privacy-preserving, secure Ethereum scaling solution in this article.

What is zkSync?

According to the team, zkSync is a trustless, scalable, low-cost Ethereum protocol that is powered by ZK-rollup technology.

For the uninitiated, zero-knowledge rollups (ZK-rollups) enable private transactions at scale with minimal transaction cost on Ethereum.

zkSync promises Ethereum mainnet level security without reliance on any third-party or outside validators. The platform offers instant ETH and ERC-20 token swaps with ultra-low transaction fees, i.e., 1/100th of mainnet costs for ERC-20 token swaps and about 1/30the the cost for ETH transfer.

In addition, zkSync requires no whitelisting for the listing of tokens unlike Ethereum scaling solution Optimism, no registration as it leverages zero-knowledge proofs, and allows withdrawal of tokens to the Ethereum mainnet within 10 minutes. Moreover, zkSync supports the Multisig Schnorr Signature Scheme.

The potential for ZK-rollups-powered scaling solutions is enormous as was recently highlighted by Ethereum co-founder Vitalik Buterin in one of his recent blog posts.

Buterin said:

“In general, my own view is that in the short term, optimistic rollups are likely to win out for general-purpose EVM computation and ZK rollups are likely to win out for simple payments, exchange, and other application-specific use cases, but in the medium, to long term ZK rollups will win out in all use cases as ZK-SNARK technology improves.”

Consider the following infographic to learn more about the technological superiority of ZK-rollups compared to other Ethereum scaling solutions.

(Source: Matter Labs)

Can zkSync do a Token Airdrop?

Token airdrops have been the talk of the town lately with the likes of dYdX, Ethereum Naming Service, and ParaSwap doing retroactive token airdrops to their earlier users. Accordingly, it’s no surprise to see that speculations are already rife regarding a potential token drop by zkSync.

The rumors for a potential zkSync airdrop caught more momentum when the team tweeted that it does not have a token yet.

(Source: Twitter)

Now, this brings us to the question, how can one be eligible for the potential zkSync airdrop?

While there is no clear answer to it, the best bet still remains to interact with the platform and use the dApps built on top of it for swaps, providing liquidity, and similar activities.

How to Interact with the zkSync Ecosystem?

To interact with the zkSync ecosystem, a user needs to transfer their ETH from the Ethereum blockchain to the zkSync wallet from here.

Simply connect your L1 ETH Wallet with the zkSync Wallet and pay a one-time $15 wallet activation fee. It should take approximately 10 minutes for the ETH balance to reflect in the zkSync Wallet.

Once you receive your ether in the zkSync Wallet, the next step is to do some swaps on dApps in the ecosystem.

For instance, consider making a few swaps on the Zigzag decentralized exchange (DEX). As more apps migrate to zkSync, the opportunities to qualify for more airdrops rise in tandem.

To conclude, ZK-rollups are primed to change the Ethereum ecosystem as we know it today and zkSync is one of the earliest platforms to open the doors for all users to be a part of this change.

As zkSync gains more users and traction, expect enormous amounts of capital to pile into the ecosystem from competing layer 1 blockchains.

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