zkSync (ZK)
System: zkSync — Blockspace Production
zkSync provides Ethereum-secured Layer 2 blockspace through zkSync Era and chain infrastructure through the ZK Stack and Elastic Network. Founded in 2019, it is built with zero-knowledge rollup technology and shared Layer 1 and Layer 2 contracts. This profile covers zkSync Era, shared Ethereum and Layer 2 contracts, governance contracts, and core sequencing and proving infrastructure, while treating Ethereum consensus and third-party applications as outside the system.
Market Data
| Price | $0.017305 |
| Market Cap | $168.29M |
| Fully Diluted Valuation | $364.22M |
| 30d Change | 2.17% |
| 365d Change | -70.01% |
Token Functionalities
Governance
- Economic Design/Parameter Control (Partial)
Right to approve Token Program Proposals that assign minting/burning rights (and caps/mechanics) for ZK token programs governed by the Token Governor (covering the Token Assembly-controlled allocation).
- Process and Meta Parameter Control (Partial)
Right to upgrade components of the governance system (Protocol/Token/GovOps governors) via ZIPs, changing governance process parameters through contract upgrades.
- Actor Set Permissioning (Partial)
Right to approve ZIPs that upgrade the Security Council and Guardian multisigs (including membership changes), affecting privileged governance actor sets.
- Technical Parameter Control (Partial)
Right to vote on ZIPs via the Protocol Governor to upgrade zkSync protocol components (executed via a message from zkSync to Ethereum), subject to the broader multi-body governance process.
System Attributes
Operating Model
zkSync Era relies on an on-chain rollup protocol for settlement and governance smart contracts, while operational throughput depends on off-chain sequencing and proving components (sequencer/prover lifecycle).
Value Creation
Value (L2 execution capacity with fast confirmations) is created through off-chain transaction ordering and proof production, paired with on-chain verification/settlement guarantees of a ZK rollup design.
Value Capture
<p>Fees on zkSync Era are collected on-chain, but today they primarily support the chain operator rather than flowing directly to ZK holders. Those fees are used to cover Ethereum data posting and proof costs and can be withdrawn to Layer 1 to support operations. Based on the live design, we do not see a direct mechanism routing Era fee revenue to ZK holders or to another live on-chain value sink.</p>
Governance
Binding governance over protocol upgrades and governance contract changes is exercised via ZK-token delegated voting through on-chain governor contracts, but is constrained by Guardian veto and Security Council/Guardian approval steps (participant-based checks); operational control of the sequencer is described as centralised, indicating an off-chain entity-governed component.