Leading decentralized exchange (DEX) Uniswap is set to launch on zkSync following a governance vote which saw 99% of token holders vote in favor of the proposal.
ZkSync is a zkrollup-based scaling solution that is set to release its zkEVM on the Ethereum mainnet in late October, and is set to be the first such protocol deployed on mainnet.
Matter Labs has stated that efforts to integrate Uniswap to the network will take “4-6 weeks given Uniswap’s relevance”.
“There’s significant value in Uniswap being available on an EVM-compatible zkrollup. Deploying early on zkSync helps solidify Uniswap’s place as the number one DEX and a thought leader,” Matter Labs said on the proposal. The Ethereum Virtual Machine, or zkEVM, is a type of Layer-2 technology that’s often referred to as the holy grail of Ethereum scaling. It works by bundling up hundreds to thousands of transactions, and sending them in batches to Ethereum Layer-1 for cryptographic verification, thereby reducing the costs associated with transactions.
Uniswap is joined by established projects like Argent, Curve, and Yearn, which have committed to launching on zkSync. More than 100 projects and significant infrastructural players like Chainlink, The Graph, Gnosis, and others, have already announced support for the zkSync ecosystem.
“While the zkSync ecosystem is already experiencing very fast growth, the team is planning programs to attract and fund innovative projects and research partners to accelerate the network's adoption and in turn, Uniswap’s usage,” Matter Labs said. The move comes one day after Uniswap Labs announced the acquisition of $165 million in a Series B funding round led by Paradigm, bringing its total valuation to $1.66 billion.
Uniswap already supports Layer-2 networks like Optimism and Arbitrum, however, these scaling solutions are optimistic rollups, which, according to Ethereum’s Co-Founder Vitalik Buterin, will be outshone by zero knowledge-proof networks in the long run.
Uniswap is also testing out Polygon’s zkEVM, which was released on the testnet just days ago.
On the Flipside
- ZkSync has yet to release its zkEVM on the Ethereum mainnet.
Why You Should Care
Uniswap is the most popular decentralized exchange on the market, despite its dependency on the high Ethereum gas fees. Its integration with zkSync could serve to significantly reduce those gas fees, which could potentially spark an adoption boom greater than Uniswap has seen to date.
For more on Uniswap, check out:
Uniswap Labs Raises $165M Amid Lessened VC Crypto Funding