ZkSync is a Layer 2 scaling solution for Ethereum that leverages zero-knowledge rollups (ZK-rollups) to improve transaction speed, reduce costs, and maintain security. The ZkSync market refers to decentralized finance (DeFi) applications, like Aave, deploying on the ZkSync network, offering faster and cheaper transactions than on the Ethereum mainnet.
By using ZK-rollups, ZkSync batches transactions off-chain, processes them, and then submits them back to Ethereum with a succinct proof. This proof ensures the validity of the transactions, enhancing both scalability and security. Projects like Aave are utilizing ZkSync to offer users more efficient transactions while retaining Ethereum’s security properties.
In Aave’s case, a ZkSync market means users can participate in the Aave protocol (lending, borrowing, staking) with lower transaction fees and faster settlement times compared to the Ethereum Layer 1 network.
This technology is particularly beneficial for DeFi platforms, as it makes using the platform more accessible to a broader audience by reducing costs associated with Ethereum gas fees.
