Vitalik stressed the importance of ZK-SNARKs in reducing complexity.
Ethereum’s co-founder also highlighted the significance of the Validium smart contract.
Vitalik Buterin, co-founder of Ethereum, recently sent a letter proposing a proposal to implement the ZK-SNark feature in order to increase the scalability of the Ethereum network. Balaji Srinivasan, a former chief technology officer of Coinbase, Kraken, and Binance, was also brought up in the letter.
Vitalik claimed in his letter that ZK-Snarks is an effective technology. Further, he stressed the importance of ZK-SNARKs in reducing complexity and enhancing privacy in proof-of-liability protocols. He explained how, with the help of Z-Snarks, it is possible to build proofs that can be tested instantly. Even if the underlying calculation takes a long time to finish. The “ZK” (“zero knowledge”) extension adds even another feature. Namely, the ability to hide parts of the computation’s inputs inside the proof.
CZ Agrees to Buterin
Moreover, Ethereum’s co-founder highlights the significance of the Validium smart contract. According to Vitalik in a validium, the operator can’t steal money. But users could have their funds trapped if the operator isn’t present.
On Twitter, Binance’s CEO CZ responded favorably to the message, saying that the company plans to adopt the suggestions and provide the code so that others may use it.
This, however, need not be done inside the exchange itself but rather at the wallet layer. For novice users dealing with modest sums, and institutions that need such arrangements for legal reasons, wallet recovery would be conceivable, and highly centralized recovery methods could be necessary.
Notably, ZK-SNARK not only boosts a network’s performance but also includes shielded transactions that protect users’ anonymity while using less memory.