ZKsync operates as a Layer-2 scaling solution for Ethereum, aiming to boost the efficiency and cost-effectiveness of Ethereum transactions by processing them off the main Ethereum chain. This is achieved through the use of zk-rollups, which group transactions and handle them off the main blockchain. Visualize Layer 2 solutions as an additional freeway constructed next to a congested highway, allowing more transactions to flow on the main freeway (Ethereum). This additional lane represents the off-chain transaction handling that ZKsync performs with the assistance of zk-rollups.
How Does ZKsync Function?
ZKsync’s operation begins with the accumulation of transactions using zk-rollups. Rather than confirming individual transactions, ZKsync accumulates and confirms them in batches to alleviate the strain on the Ethereum main chain. Following this, ZKsync generates Zero-Knowledge Proofs (ZKPs) to verify these batches. ZKPs enable valid transactions within the batches while also concealing transaction details, akin to being asked certain questions that only someone with the password can answer without actually revealing the password.
ZK Token
ZKsync operates as a decentralized governance system, with the ZK token playing a crucial role by granting voting rights to holders. Users must stake ZK tokens to a ZKsync address to exercise this power, which can be their own or someone else’s. The individual managing the address, referred to as a Delegate, gains the right to vote on governance proposals. Importantly, delegation does not transfer tokens but only activates voting capabilities for the designated address. The ZK token was launched on Binance on June 17, 2024, with a seed tag.
ZKsync Airdrop
ZKsync distributed 17.5% of the total ZK tokens to wallets and contributors who participated in the airdrop. Users were required to transfer their assets to ZKsync Era and meet specific conditions, such as invoking smart contracts, transacting through paymasters, trading ERC-20 tokens, providing liquidity, holding particular NFTs, or engaging in the ZKsync Lite platform. The contribution-based airdrop also allocated tokens to various contributors within the ZKsync system, including direct grants for native projects developing on ZKsync Era, developers, GitHub contributors, and on-chain organizations.
Claiming the ZKsync Airdrop
ZKsync functions as a decentralized governance system, with the ZK token granting voting rights to holders. Users stake ZK tokens to a ZKsync address to exercise this power, which can be their own or someone else’s. The individual managing the address, known as a Delegate, gains the right to vote on governance proposals. Importantly, delegation does not transfer tokens but only activates voting capabilities for the designated address. Delegation can be altered at any time by the token holder and remains in effect until changed or the tokens are sold. The ZK token was launched on Binance on June 17, 2024, with a seed tag.
Controversy Surrounding ZKsync Airdrop Execution
There has been recent controversy surrounding the ZKsync airdrop, particularly regarding its fairness and execution. Critics have raised concerns about the lack of an effective mechanism to prevent Sybil attacks.
ZKsync vs. Optimistic Rollups
Optimistic rollups and ZKsync represent two distinct approaches to ensuring transaction integrity and settlement. Optimistic rollups assume all operations are valid and rely on nodes to validate transactions post-execution, with adjustments made in case of issues. This method is susceptible to human influence. In contrast, ZKsync employs ZKPs for transaction security, ensuring heightened accuracy.
In terms of settlement time, optimistic rollups have a 7-day challenge period to reverse questionable transactions, leading to slower settlement times. ZKsync relies on ZKPs to verify transactions, finalizing transactions upon successful verification and eliminating the challenge period for faster settlement.
Benefits of ZKsync
ZKsync leverages zk-rollups to offload transactions from the main Ethereum network, reducing transaction fees and processing time. This enables Ethereum to accommodate more users and decentralized applications (DApps). Additionally, ZKsync’s compatibility with the Ethereum Virtual Machine (EVM) allows developers to seamlessly transition their DApps to ZKsync without extensive code modifications.
Closing Remarks
ZKsync utilizes zk-rollups and ZKPs to introduce a Layer-2 design that accelerates transactions and reduces costs on the Ethereum network. As a result, ZKsync offers increased security compared to optimistic rollups and faster settlement times. Furthermore, EVM integration simplifies the implementation of its scaling solutions for developers, positioning this approach as a potential solution to the challenge of blockchain scalability.