Startup Matter Labs has announced the launch of a Level 2 solution for scaling the Ethereum network.
A tool called zkSync developed based on zkRollup technology, can process up to 2000 transactions per second. In comparison, the Ethereum blockchain currently processes an average of 15 transactions per second.
zkSync stores transaction data in the sidechain, and not in the Ethereum central blockchain. Then, transactions are grouped to be included in the Ethereum main blockchain. “Zk” refers to the zero-knowledge evidence protocol, which is used by zkSync to validate the data before being sent to the central blockchain.
At the moment, the main functions that are available in zkSync are token transfers. Users can connect their Ethereum wallets to zkSync to send or receive tokens; Smart contract functionality is not currently supported.
Matter Labs is not the only startup that develops solutions based on zkRollup technology. According to DeFi Pulse, the total value of blocked funds at Loopring, a decentralized exchange based on zkRollup, exceeded $ 9 million last week.