How to get to zkSync

Blockchain (Ethereum), the leading blockchain for decentralized applications (DApps), faces a major challenge with scalability. As user adoption has increased, transaction fees have skyrocketed, hindering mainstream adoption. Aiming to solve this problem while maintaining the security and decentralization of Ethereum, ZkSync has emerged as a promising solution.

What is zkSync?

ZkSync is a Zero Knowledge (ZK) packet scaling solution built on the Ethereum blockchain. It uses ZK-proofs, a cryptographic technique, to process off-chain transactions while inheriting Ethereum's security features (Layer 1 or L1).

ZkSync is the brainchild of Matter Labs, a team of passionate blockchain engineers and entrepreneurs. Alex Gluchowski, co-founder and CEO of Matter Labs, is a prominent figure in the Ethereum community, recognized for his contributions to scaling solutions. The team's strong technical expertise and decentralized commitment are critical drivers behind zkSync's success.

ZkSync's growth has been bolstered by a consortium of prominent investors including Andreessen Horowitz, Sequoia Capital and Balaji Srinivasa. These heavyweight backers will provide critical financial resources and strategic guidance in expanding zkSync's growth trajectory.

Here's how zkSync works:

zkSync significantly reduces gas charges per transaction by transferring multiple transactions into one package. without revealing their details. These credentials are sent back to the Ethereum mainnet for verification.

This method offers several advantages:

Scalability Low fees Improved privacy security.

ZkSync boasts high-speed transaction processing compared to Layer 1, which can handle thousands of transactions per second. By incorporating transactions, zkSync significantly reduces gas bills, making it a cost-effective option for consumers. ZK-proofs hide transaction details while verifying their authenticity, providing a level of privacy on the public blockchain.

ZkSync inherits the security of Ethereum, as its authentication relies on an underlying blockchain consensus mechanism.

What makes zkSync different?

ZkSync has a unique feature that stands out in the L2 scale setting. ZkSync was among the first ZK-rollups to hit the mainstream, giving it a head start in terms of user adoption and development. Unlike some ZK-rollups, zkSync avoids using trusted setup (Application-Specific Trusted Setup or AS-TST), which eliminates a potential central point.

AS-TST is a configuration process for certain cryptographic systems, often ZK-proofs, where a trusted group generates secret parameters that are necessary for the security of the system, but these parameters cannot be used to break the encryption itself.

ZkSync also uses a new approach called “Fractal SNARKs” to generate proofs of accuracy, allowing them to scale efficiently with increasing numbers of transactions. These innovations have attracted significant interest from the developer community, making zkSync a frontrunner in the race for a scalable Ethereum.

Since its mainnet launch in November 2020, zkSync has seen impressive growth. As of May 2024, zkSync has processed millions of transactions, demonstrating its real-world utility. The value of crypto assets locked in zkSync has reached more than $150 million in 107 native protocols, which shows the user's trust in the platform. A thriving developer ecosystem is emerging around zkSync, with many DApps and projects integrated with the platform.

What is the difference between zkSync and Starknet?

Using ZK-rollup technology, zkSync prioritizes interoperability with general-purpose smart contracts and existing Ethereum infrastructure. In contrast, StarkNet is a different L2 matching approach using zk-STARK authentication, which provides greater scalability but requires a separate programming language, Cairo, for smart contracts.

Why build on zkSync?

ZkSync opens up use cases that are challenging or expensive to implement at L1. ZkSync's low fees and fast transaction processing make it ideal for blockchain-based games that require frequent microtransactions. Decentralized financial (DeFi) protocols can use zkSync to provide low-cost, high-speed financial services, attracting a broad user base.

Led by the dignitaries in the crypto community, the intangible token (NFT) market thrives on efficient trading. ZkSync facilitates a cost-effective platform for processing and trading NFTs. These use cases highlight the capabilities of zkSync by solving the switching bottlenecks of various blockchain applications.

Moving assets between L1 (Ethereum mainnet) and L2 (zkSync) is a critical step for users to participate in the zkSync ecosystem. However, a bridge introduces additional complexity and potential risks.

Here is a detailed description of the bridge process and related issues:

How do cross bridges work? Step by step guide

Most cross-chain bridges use these basic steps to move assets across the chain.

Step 1: The user selects the asset and amount they want to transfer from Ethereum to zkSync.

Step 2: The bridge locks the user's chosen tokens with a smart contract on the Ethereum mainnet.

Step 3: An equivalent amount of tokens representing assets locked on L1 is placed on zkSync.

Step 4: The user receives newly generated tokens with zkSync that they can use in the zkSync ecosystem.

The reverse process (transferring assets from zkSync back to Ethereum) follows the same principle, the bridge burns zkSync tokens and unlocks the corresponding assets on the Ethereum mainnet.

Connection options for zkSync

Several bridging solutions facilitate asset movement between Ethereum and zkSync.

Matterport: Developed by Matter Labs, the team behind zkSync, Matterport is a secure bridge designed specifically for zkSync. It uses a network of certificates to ensure the secure transfer of assets and provides a user-friendly interface. General Bridges: Bridges such as Synapse can also be used to transfer assets between Ethereum and zkSync. These bridges usually support a wider range of tokens but may involve additional fees and security risks due to their generic nature.

The image below shows how much money is transferred from Defillama to zkSync and from the bridge.

A complete list of bridges for zkSync is available on Defillama.

While many of these are options for logging into zkSync, users should exercise due care before using them. There are many dangers to using bridges, which are discussed later in the article.

How to port to zkSync using Matterport (zkSync's official bridge).

Follow the steps below to bridge to zkSync using Matterport.

Visit the Bridge Interface: Access the Matterport Bridge interface with your wallet: Connect a supported Ethereum wallet such as MetaMask or Coinbase Wallet. Select assets and amounts: Select the token you want to connect from Ethereum to zkSync and enter the required amount. Approve Transaction: Approve the transaction in your wallet, which generally includes paying the Ethereum gas fee. Wait for confirmation: Depending on network congestion, the connection process may take some time. Once verified, your assets should appear in your zkSync wallet.

How to get to zkSync using general bridges

Follow the steps below to bridge to zkSync using generic bridges.

Visit the bridge website: Go to the website of the bridge of your choice – eg Synapse. Link Wallets: Link your Ethereum wallet and if needed, create or link your zkSync wallet. Select networks and token: Select “Ethereum” as the source chain, “zkSync” as the destination and the token you want to transfer Input amount and approval: Enter the required amount and approve the transaction in the Ethereum wallet (paying gas fees). zkSync wallet. This may involve several steps and fees.

What wallet supports zkSync?

There are many wallet options for holding funds and connecting to applications on the zkSync network. Popular choices include:

MetaMask (a widely used Ethereum wallet that also supports zkSync) Argent (a mobile-first wallet that focuses on security and user experience).

The official zkSync portal offers a built-in wallet, and hardware wallets like Ledger offer enhanced security for significant holdings. When choosing a zkSync wallet, consider factors such as ease of use, security features, support for specific DApps in the zkSync ecosystem, and whether you prefer a mobile or browser-based experience.

Does Coinbase Wallet support zkSync?

As of May 2024, zkSync will no longer be natively supported by Coinbase Wallet. This means that you cannot use your Coinbase Wallet to deposit or withdraw funds directly from the zkSync network. You need to use a bridge to move funds from Ethereum – which Coinbase Wallet supports – to your zkSync wallet.

Does Trust Wallet support zkSync?

Unfortunately, Trust Wallet does not directly support zkSync. However, using Trust Wallet, you can use a bridge to connect to DApps or transfer assets from a supported network (such as Ethereum) to the zkSync network.

Risks associated with blockchain bridges

While bridging offers a convenient way to move assets, it also introduces some risks that need to be considered. Bridges rely on smart contracts that can be vulnerable to hacking or exploitation if not managed properly. It is critical to choose bridges with a proven track record that undergo rigorous safety audits.

Some bridges employ central guards to hold the assets locked during the transfer process. This introduces a single point of failure and potential censorship risks. Choosing decentralized bridges with distributed authentication networks minimizes this risk.

When using liquidity pools in bridges, users may experience constant losses if the price of the bridged asset fluctuates significantly between the lock and open phases. It is important to understand the risks involved in liquid pools.

Bridges are known to be crypto's Achilles heel and have been exploited by hackers. Over the past few years, Ronin Bridge hacks and wormhole bridge hacks have resulted in the loss of hundreds of millions of dollars worth of crypto assets.

Reducing risks associated with blockchain bridges

Here are some tips to help reduce the risks associated with consolidating properties:

Users should try to select bridges with a strong safety record and undergo regular audits by recognized safety organizations. It is important to familiarize yourself with the specific functions of the selected bridge, including fees, supported assets, and potential centralization risk. In bridging, users should be aware of constant loss risks and monitor asset values ​​to minimize potential losses. To reduce exposure to bridging risks, users should avoid transferring more assets than they intend to use immediately on any new protocols.

By following these practices, users can make informed decisions when connecting assets and participate in the zkSync ecosystem with greater confidence.