Since the first quarter of 2023, blockchains with zk-Rollups have shown rapid development. Developers are working hard to scale Ethereum, and huge zero-knowledge-based projects such as Polygon zkEVM and zkSync 2.0 have successfully completed their testnet/mainnet phases. Shall we start the article by taking a look at the daily user and transfer numbers of Optimism and Arbitrum networks? :) Optimism Network Daily Number of Users and Transfers
https://pro.nansen.ai/multichain/optimism The deployment of general-purpose, EVM-compatible zk-Rollups has improved further in 2023, as Optimistic Rollups had an incredible, parabolic run in 2022. Even though this process continues, it is certain that it will make more progress in 2024. Arbitrum's Unique Address Table
https://arbiscan.io/chart/address Zk-Rollups have been around for a while (e.g. Loopring, zkSync), but what's different about Polygon zkEVM and zkSync 2.0 is their EVM compatibility and general purpose. The zk-Rollups choice for this article is the new Polygon zkEVM. The public Testnet has ended and the mainnet is slated to launch in the first quarter of 2023. They switched to mainnet as of the 3rd quarter of 2023.
Polygon has been building new projects lately. Moreover, major partnerships were announced with well-known companies, including Reddit, Walt Disney, Adidas and Prada, NFL, Adobe and Meta!
What is Polygon zkEVM? Polygon zkEVM is a new zkRollup that is open source and fully compatible with Ethereum. This means that pre-existing smart contracts can be deployed without having to rebuild the code from scratch. ZkEVM is also compatible with wallets and developer tools. It works by using the Proof of Efficiency consensus algorithm, a decentralized auction, to decide who will handle batch transactions and provide proofs of validity. Participants must submit token bids to compete for the rights to perform these tasks.
Zero Knowledge Proofs (SNARK and STARK) What is zk-SNARK? A Zk-SNARK (Zero-Knowledge Substantive Non-Interactive Knowledge Argument) is generated by a very complex, clever and powerful method of cryptography that provides validity proofs without revealing underlying data, being necessary yet fast to verify. Important computational resources to be calculated. Additionally, the size of the zk-SNARK proof sent to Ethereum Layer 1 is relatively small, which also helps scale the Network up to 100x while maintaining security levels comparable to Ethereum Layer 1.
Zero Knowledge Proofs (SNARK and STARK) What is zk-SNARK? A Zk-SNARK (Zero-Knowledge Substantive Non-Interactive Knowledge Argument) is generated by a very complex, clever and powerful method of cryptography that provides validity proofs without revealing underlying data, being necessary yet fast to verify.
Important computational resources to be calculated. Additionally, the size of the zk-SNARK proof sent to Ethereum Layer 1 is relatively small, which also helps scale the Network up to 100x while maintaining security levels comparable to Ethereum Layer 1. What is zk-STARK? Zk-STARK (Zero-Knowledge Scalable Transparent Information Argument) is another type of proof that ensures the validity of a statement without revealing the underlying information but is larger in size compared to zk-SNARK, making it more expensive. It takes up more space on layer 1. In contrast, when used to verify larger portions of data, they are easier to compute and verify and are resistant to quantum computer attacks. Polygon zkEVM has a unique model and cleverly leverages both types of evidence, let's take a look at it. Polygon zkEVM Model
Zero Knowledge Proofs (SNARK and STARK) What is zk-SNARK? A Zk-SNARK (Zero-Knowledge Substantive Non-Interactive Knowledge Argument) is generated by a very complex, clever and powerful method of cryptography that provides validity proofs without revealing underlying data, being necessary yet fast to verify. Important computational resources to be calculated. Additionally, the size of the zk-SNARK proof sent to Ethereum Layer 1 is relatively small, which also helps scale the Network up to 100x while maintaining security levels comparable to Ethereum Layer 1.
What is zk-STARK? Zk-STARK (Zero-Knowledge Scalable Transparent Information Argument) is another type of proof that ensures the validity of a statement without revealing the underlying information but is larger in size compared to zk-SNARK, making it more expensive. It takes up more space on layer 1. In contrast, when used to verify larger portions of data, they are easier to compute and verify and are resistant to quantum computer attacks. Polygon zkEVM has a unique model and cleverly leverages both types of evidence, let's take a look at it. Polygon zkEVM Model
What to Expect in 2024? My prediction is that the interest in zk-Rollups in 2023 and the influx of users and developers will be commensurate with the growth of Optimistic Rollups in 2023. However, Optimistic Rollups have already been battle-tested for a while, so the practical side of things could still be in their favor in early 2023. But I expect a lot of adaptation, testing, innovation and iteration from any Layer 2 that wants to stay relevant. , it doesn't matter which type it is.
The technology is not yet in its final form, and it will be interesting to see how each scaling solution will evolve in 2024. Polygon investments have been mentioned, but Optimism and Arbitrum are also working on improvements. Technology is evolving surprisingly fast these days, so companies and developers need to act accordingly. To summarize... Major projects such as zkSync, Scroll, Linea, and Polygon zkEVM are promising Layer 2 projects that are expected to have a huge positive impact on Ethereum's scalability. Scaling solutions have attracted a lot of attention, and some may even think that alternative Tier 1s will not be able to compete with them in the future. In any case, the entire DeFi space will benefit from progress in production, better security, and lower fees. These bottlenecks require solutions for broader adoption of crypto, and improvements in these areas are much needed.
As I mentioned in the introduction, zkSync, Scroll, Linea and Polygon invest heavily in partnerships. But equally important, and perhaps more important, is the amount of investment in not-so-glamorous infrastructure. A lot of work has been done towards scalable solutions and Polygon is definitely an ecosystem to keep a close eye on as it lays a solid foundation for future web3 application deployments.
