Research Summary
The report provides an in-depth analysis of zkSync, a zero-knowledge Ethereum rollup developed by Matter Labs. It discusses the project’s background, progress, core developers, transaction counts, bridged assets, active users, and product differentiation. The report also highlights the financials, token economics, market comparisons, team, investors, and community of zkSync.
Key Takeaways
zkSync’s Position in the Market
- Leading in Core Developers and Transactions: zkSync leads in terms of core developers and transaction counts over the last 180 days compared to its main competitors, Arbitrum, Base, OP Mainnet, and Starknet.
- High User Retention: zkSync has a high user retention rate, with 31% of users onboarded in February 2023 remaining active in December 2023.
- Impressive Financials: zkSync has shown impressive financial numbers since launching its mainnet to the public just 9.5 months ago.
zkSync’s Unique Approach
- Zero-Knowledge Rollup: Unlike other Ethereum rollups that use optimistic rollups, zkSync uses a zero-knowledge rollup, which offers nearly instant transaction verification, privacy of data, and more efficient transactions.
- Focus on DeFi: Currently, zkSync is primarily a DeFi chain, with several DeFi protocols building on it. The report suggests that if zkSync can make all transactions private, it could gain a first-mover advantage for financial use cases.
zkSync’s Future Prospects
- Token Launch: zkSync has not yet launched its token, but the report suggests that the launch could coincide with a shift in market attention towards zero-knowledge rollups.
- Community and Investor Support: zkSync has a large community and is backed by prominent venture capital firms, which could support its growth and development.
Actionable Insights
- Monitor zkSync’s Progress: Given its leading position in terms of core developers and transaction counts, and its high user retention rate, it would be beneficial to keep an eye on zkSync’s progress and developments.
- Understand the Implications of Zero-Knowledge Rollups: As zkSync uses a different approach to scaling Ethereum, understanding the implications and benefits of zero-knowledge rollups could provide valuable insights into the future of Ethereum rollups.
- Anticipate the Launch of zkSync’s Token: With the potential launch of zkSync’s token, it would be prudent to anticipate this event and understand its potential impact on the market.
