What is ZKsync (ZK)?

By CMC AI
21 August 2025 09:51PM (UTC+0)

TLDR

ZKsync is an Ethereum scaling solution using zero-knowledge proofs to enable faster, cheaper transactions while maintaining security and interoperability.

  1. Ethereum Layer-2 protocol – Enhances scalability using ZK-rollup technology.

  2. Elastic Network architecture – Connects customizable chains for seamless cross-chain interactions.

  3. Institutional adoption – Powers privacy-focused platforms like Prividium with partners like Deutsche Bank.

Deep Dive

1. Purpose & Value Proposition

ZKsync addresses Ethereum’s scalability bottlenecks by processing transactions off-chain and bundling proofs on Ethereum. Its ZK-Rollups compress data, reducing fees by ~90% compared to Ethereum mainnet. The protocol emphasizes “native interoperability,” allowing chains in its Elastic Network to share liquidity and execute atomic transactions.

2. Technology & Architecture

Built on zkEVM (Zero-Knowledge Ethereum Virtual Machine), ZKsync maintains compatibility with Ethereum smart contracts. Its Airbender zkVM (released June 2025) processes Ethereum block proofs in 35 seconds using RISC-V architecture, enabling decentralized at-home validation. The Gateway interoperability layer facilitates communication between ZKsync Chains, with transaction fees paid in $ZK.

3. Ecosystem Fundamentals

  • Prividium: A compliance-ready platform for institutions, co-developed with Deutsche Bank, offering private transactions anchored to Ethereum.
  • ZK Success: A community program fostering decentralized support and education (GitHub).
  • Real-world traction: Cited in a White House report as critical infrastructure for digital identity and payments.

Conclusion

ZKsync combines Ethereum’s security with scalable ZK tech, positioning itself as a hub for interoperable chains and institutional blockchain adoption. As its Elastic Network expands, can it balance decentralization with enterprise-grade privacy demands?

CMC AI can make mistakes. Not financial advice.
ZK
ZKsyncZK
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$0.06781

1.26% (1d)