If you’re a cryptocurrency enthusiast, you may have heard about the term “ZK Rollup” and are curious about what it is and how it works. ZK Rollups are a way to enable large-scale transactions on the Ethereum blockchain that are more efficient and secure than regular transactions.
For those looking for projects to work on or invest in, ZK Rollups can be a great option. This blog post will explain what ZK Rollups are and provide our top five recommendations for the best ZK Rollup projects out there. Read on to learn more about:
- A Brief Introduction to ZK Rollup Projects
- Why Consider ZK-Rollups
- Best ZK-Rollup Projects List
- How to Invest in ZK Rollup Projects
What are ZK-Rollups?
Zero-knowledge rollup (ZK Rollup) projects are a new category of Ethereum scaling solutions. It offers fast, cheap, and scalable transaction processing while preserving the security guarantees of the underlying blockchain.
ZK Rollup projects make use of zero-knowledge proofs. This cryptographic technique allows for data verification without revealing the underlying data itself. This enables ZK Rollups to compress large amounts of data into much smaller proofs that can be verified on-chain.
As a result, ZK Rollups can scale Ethereum transactions to thousands or even millions per second while maintaining the same security level as the underlying blockchain.
Several ZK Rollup projects are currently in development, each with its unique approach to scaling Ethereum. In this article, we’ll look at some of the best ZK Rollup projects and explore why they hold promise for scalable Ethereum transactions.
Why Consider ZK-Rollups
ZK-Rollups offer a unique solution to the scalability problem of Ethereum. They allow for much more transactions to be processed off-chain while maintaining the Ethereum network’s security. This makes them an attractive option for dApp developers and users who want to use Ethereum without worrying about scalability issues.
There are plenty of reasons that make ZK Rollups beneficial and portfolio-material. Here are some of them:
- Reduce scalability issues. ZK Rollups combine many transactions into a single transaction, reducing the amount of data that must be stored on the Ethereum blockchain. Freeing up space on the blockchain has the potential to alleviate Ethereum’s scalability concerns.
- Reduce Fees. Fee fees are reduced by eliminating the need to include ZK Rollups within Ethereum blocks. This means they can be processed off-chain, which could alleviate Ethereum’s congestion issues.
- Quicker transactions. Since ZK Rollups do not need to be included in Ethereum blocks, they allow for speedier transactions. It implies they can be processed off-chain, alleviating Ethereum’s congestion problems.
- Optimized security and confidentiality. With ZK Rollups, transaction data is kept confidential using zero-knowledge cryptography. Only the sender and recipient of a transaction can access it.
Best ZK-Rollup Projects List
Depending on their intended use, ZK-Rollup projects take various forms. The following is a list of significant initiatives that use and are products of zero-knowledge technology.
The first notable zero-knowledge project on the list is zkSync, a user-focused platform and Ethereum scaling mechanism on the mainnet. It claims to grow Ethereum’s technology and principles without compromising security or decentralization. This project’s fundamental premises include the user’s ability to:
- Receive, store, and transfer assets amongst themselves; and
- Withdraw funds within their jurisdiction to an L1 address.
The fact that you do not need to generate a different private key before using this ZK Rollup project makes it advantageous. This is because zkSync supports current Ethereum wallets right out of the box.
The zkSync roadmap includes plans for integrations with popular Ethereum wallets, exchanges, and applications. The team is also creating tools to make it easy for developers to build applications on top of zkSync.
zkSync is now centralized since it is wholly maintained and maintained by the zkSync team’s servers. However, there is a potential for this to be replaced with a decentralized ZK Rollup system soon.
If you’re looking for a scalability solution that offers privacy and speed, then the zkSync project is definitely worth checking out.
Sorare, another impressive outcome of the ZK Rollup technology, is an online platform for sports fans that provides members with a unique method to engage with their favorite teams and players. It features popular sports like football, basketball (NBA), and baseball (MLB).
The fantasy game uses Ethereum and ERC-721 tokens. Players can buy, sell, and trade players on the Sorare platform. The project offers users the opportunity to:
- Collect, play, and win cards. The website offers licensed digital cards and features them in its open marketplace.
- Create lineups and participate in competitions. Users may establish teams using the cards from their library and earn points depending on their players’ real-life performance to compete in weekly fantasy contests.
- Compete and win. Participants can showcase their abilities and compete against managers worldwide to climb the weekly standings and claim rewards.
ZKSwap—a token Swap mechanism based on ZK-Rollups—is a brand-new trading protocol founded on ZK-Rollups technology. All ERC20 tokens are transmitted through Layer 2 using Zk-Rollups technology. The constant state of Layer1 and Layer2 is verified by continually created zero-knowledge proofs.
It was founded due to the development of quick, frictionless, trustless, and real-time exchange systems. The cryptocurrency industry, as a whole, estimates that the Total Value Locked in decentralized finance protocols will soon surpass 100 billion US dollars. The debut of ZKSwap confirms that it is superior to several DEX, such as UniSwap and PancakeSwap.
Compared to other exchanges, Zkswap has its advantages, namely:
- The zero gas fee offer
- The high Transaction Per Second (TPS)
- The real-time transaction
The team behind zkSwap has developed an easy-to-use extension for the popular and trusted MetaMask wallet that makes it simple to trade on the platform. If you’re looking for a safe and easy way to trade ERC20 tokens, zkSwap is definitely worth checking out!
At its essence, Loopring is a non-custodial, Layer 2 protocol that enables high efficiency and low trading and transaction costs on the Ethereum blockchain. As Ethereum’s premier zkRollup Layer2, Loopring developed standards, infrastructure, and user-facing solutions for the financial future.
The Loopring protocol has been designed to be scalable and efficient. It can handle up to 2,000 transactions per second (TPS) and does not require users to have ETH in order to trade. The protocol is also compatible with any ERC20 token, making it very versatile.
This zero-knowledge rollup project offers security and performance to decentralized finance (DeFi) users. It also gives consumers authority over their assets in a digital economy by providing the following:
- Low fees
- Fast trading performance
- Secure transactions
- Convenient payment methods
DiversiFi is another ZK Rollup project where users can swap, stake, and experience non-fungible travel. If the term doesn’t ring a bell, DiversiFi is introducing a Web3 Travel Club via which Non-Fungible Tokens with Real-World Utility and holders may earn rewards.
DiversiFi is a next-generation crypto trading platform that enables users to trade multiple assets across different exchanges from a single interface. The platform provides an easy-to-use, intuitive interface for managing your portfolio and executing trades.
Holders of the DiversiFi Passport will have access to the entire Non-Fungible Travel Ecosystem, featuring token-gated admission to its exclusive Rewards Program, Vacation Giveaways, and more.
If you’re looking for a comprehensive, easy-to-use crypto trading platform with plenty of features and flexibility, DiversiFi is definitely worth checking out!
How to Invest in ZK Rollups
There are plenty of ZK-Rollup coins you can invest in right now. Some of them are listed on one of the most trusted platforms in the market–Binance.
So, if you’re interested in it, we’ll take you on a journey to purchase your first-ever LRC using your debit or credit card.
NOTE: Ensure that your Binance account has been verified to avoid transaction delays.
Step 1: Log into your Binance account
Step 2: Head on to the “Buy Crypto” selection, then choose “Credit/Debit Card”
Step 3: Fill out the box by selecting the currency you’ll use to buy ZK-Rollup tokens before clicking “Continue”
Step 4: Complete the transaction by providing the necessary details and confirming your order
As we entered 2023, it’s clear that ZK Rollups are here to stay. These trustless scaling solutions offer many advantages over traditional solutions, and they are all working on attractive scaling solutions that have the potential to make a significant impact on the Ethereum ecosystem. If you’re looking for a project to get involved with, we highly recommend taking a closer look at our best ZK Rollup projects list.
Best ZK Rollup Projects-FAQs
How do you choose your top 5 ZK-Rollup coins?
Choosing ZK-Rollup coins to invest in is similar to how you choose other cryptocurrencies out there. In addition to comparing them to other projects on the market that use ZK-Rollups, you should also consider their potential for future growth, tokenomics, technology, and the roadmap and see if they align with yours.
What is ZK technology in Crypto?
Blockchains can process transactions faster and keep gas prices low by using zero-knowledge rollups, also known as ZK-Rollups. The ZK-Rollups can handle thousands of transactions in one batch and transmit a small amount of summary data to the Mainnet. This improves performance on the Ethereum Mainnet by offloading computation and state storage.