ZKSwap has been developed by L2Lab as a decentralized exchange protocol that is based on ZKSpeed, a Practical ZK-Rollups Solution. ZKSwap aims to offer a solution to the low throughput and high transaction fees on the Ethereum network.
This would help in improving the DEX user experience and scale DeFi applications. The ZKSwap project has been backed by SNZ Capital, Bixin Capital, FBG Capital, and Longling Capital, it is also audited fully by Certik, SlowMist, and ABDK.
How does it work?
The platform utilizes a ZK-Rollup architecture that enables the decentralized exchange to bundle hundreds of token swaps into one single transaction for better efficiency and lower gas fees. Users can freely trade without high gas fees and reduced user friction which is common on other Ethereum-based decentralized exchanges.
ZKSwap allows users to conduct up to 50 transactions in a day without any gas fees and the user only needs to pay a fee on layer 1 withdrawal.
User transactions are verified and stored off-chain on the platform’s layer 2 until withdrawals are requested so as to allow for maximum scalability and efficiency. ZKSwap currently supports Metamask, imToken, TokenPocket and Bitpie wallets for zero-free token transfers through their platform.
Liquidity providers and users have to pay gas fees only when they deposit or withdraw tokens from the Ethereum layer 1.
The ZKSwap V2
The ZKSwap platform recently announced the launch of the V2 testnet of its platform that will help users make cross-chain swaps between and across Ethereum, Binance Smart Chain, Huobi ECO chain, and OK Chain after the V2 mainet launch. The platform is also expanding on its asset ecosystem and will now have the option of adding or swapping any ERC-20 token while also shortening the withdrawal time from the ZKSwap layer 2 to a layer 1 that is supported (like Ethereum).
With the V2, ZKSwap would also allow its users to create any token pair or add ERC-20 tokens and stablecoins that free and settled in real-time. The platform also plans to add cross-chain support for BSC, HECO, and OKChain within the next few weeks after its V2 mainet launch in order to enable cross-chain token swaps beyond Ethereum.
The ZKSwap mainet is set to give live two weeks after the smooth operation of the Testnet.
By opening up their platform to any token standard ZKSwap is working on creating an expansive DeFi ecosystem that would allow users to list and swap thousands of tokens with ease and in turn, make DeFi more accessible to the masses. Two of the main barriers to DeFi adoption are network congestion and gas fees, with their V2 ZKSwap is looking to provide scalability and usability to its users and make the network more efficient.
ZKSwap has grown to over 87,000 users with a 50% growth in the last one month and a total trading volume of $11.5 billion. The V2 launch will prove beneficial as DeFi is gaining more traction and ZKSwap provides a cost-efficient way to swap between a variety of tokens.
For more information check out their website.
Disclaimer: This is a paid post and should not be treated as news/advice.