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$0.007830
Market Cap$79.08M
Fully Diluted Valuation$164.43M
30d Change-22.30%
365d Change-84.70%

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&nbsp;on&nbsp;zkSync&nbsp;Era&nbsp;are&nbsp;collected&nbsp;on-chain,&nbsp;but&nbsp;today&nbsp;they&nbsp;primarily&nbsp;support&nbsp;the&nbsp;chain&nbsp;operator&nbsp;rather&nbsp;than&nbsp;flowing&nbsp;directly&nbsp;to&nbsp;ZK&nbsp;holders.&nbsp;Those&nbsp;fees&nbsp;are&nbsp;used&nbsp;to&nbsp;cover&nbsp;Ethereum&nbsp;data&nbsp;posting&nbsp;and&nbsp;proof&nbsp;costs&nbsp;and&nbsp;can&nbsp;be&nbsp;withdrawn&nbsp;to&nbsp;Layer&nbsp;1&nbsp;to&nbsp;support&nbsp;operations.&nbsp;Based&nbsp;on&nbsp;the&nbsp;live&nbsp;design,&nbsp;we&nbsp;do&nbsp;not&nbsp;see&nbsp;a&nbsp;direct&nbsp;mechanism&nbsp;routing&nbsp;Era&nbsp;fee&nbsp;revenue&nbsp;to&nbsp;ZK&nbsp;holders&nbsp;or&nbsp;to&nbsp;another&nbsp;live&nbsp;on-chain&nbsp;value&nbsp;sink.</p>

Governance

Token-Based: <p>zkSync&nbsp;uses&nbsp;a&nbsp;mixed&nbsp;governance&nbsp;model.&nbsp;Delegated&nbsp;ZK&nbsp;voting&nbsp;has&nbsp;a&nbsp;binding&nbsp;but&nbsp;limited&nbsp;role&nbsp;in&nbsp;protocol&nbsp;upgrades,&nbsp;token&nbsp;programme&nbsp;parameters,&nbsp;governance-process&nbsp;changes,&nbsp;and&nbsp;the&nbsp;appointment&nbsp;or&nbsp;removal&nbsp;of&nbsp;formal&nbsp;governance&nbsp;actors.&nbsp;At&nbsp;the&nbsp;same&nbsp;time,&nbsp;Guardians&nbsp;and&nbsp;the&nbsp;Security&nbsp;Council&nbsp;retain&nbsp;veto,&nbsp;review,&nbsp;and&nbsp;emergency&nbsp;powers,&nbsp;the&nbsp;ZKsync&nbsp;Foundation&nbsp;approves&nbsp;emergency&nbsp;upgrades,&nbsp;and&nbsp;some&nbsp;chain-level&nbsp;operational&nbsp;controls&nbsp;remain&nbsp;with&nbsp;designated&nbsp;operator&nbsp;roles.</p> Participant-Based: <p>zkSync&nbsp;uses&nbsp;a&nbsp;mixed&nbsp;governance&nbsp;model.&nbsp;Delegated&nbsp;ZK&nbsp;voting&nbsp;has&nbsp;a&nbsp;binding&nbsp;but&nbsp;limited&nbsp;role&nbsp;in&nbsp;protocol&nbsp;upgrades,&nbsp;token&nbsp;programme&nbsp;parameters,&nbsp;governance-process&nbsp;changes,&nbsp;and&nbsp;the&nbsp;appointment&nbsp;or&nbsp;removal&nbsp;of&nbsp;formal&nbsp;governance&nbsp;actors.&nbsp;At&nbsp;the&nbsp;same&nbsp;time,&nbsp;Guardians&nbsp;and&nbsp;the&nbsp;Security&nbsp;Council&nbsp;retain&nbsp;veto,&nbsp;review,&nbsp;and&nbsp;emergency&nbsp;powers,&nbsp;the&nbsp;ZKsync&nbsp;Foundation&nbsp;approves&nbsp;emergency&nbsp;upgrades,&nbsp;and&nbsp;some&nbsp;chain-level&nbsp;operational&nbsp;controls&nbsp;remain&nbsp;with&nbsp;designated&nbsp;operator&nbsp;roles.</p> Entity-Based: <p>zkSync&nbsp;uses&nbsp;a&nbsp;mixed&nbsp;governance&nbsp;model.&nbsp;Delegated&nbsp;ZK&nbsp;voting&nbsp;has&nbsp;a&nbsp;binding&nbsp;but&nbsp;limited&nbsp;role&nbsp;in&nbsp;protocol&nbsp;upgrades,&nbsp;token&nbsp;programme&nbsp;parameters,&nbsp;governance-process&nbsp;changes,&nbsp;and&nbsp;the&nbsp;appointment&nbsp;or&nbsp;removal&nbsp;of&nbsp;formal&nbsp;governance&nbsp;actors.&nbsp;At&nbsp;the&nbsp;same&nbsp;time,&nbsp;Guardians&nbsp;and&nbsp;the&nbsp;Security&nbsp;Council&nbsp;retain&nbsp;veto,&nbsp;review,&nbsp;and&nbsp;emergency&nbsp;powers,&nbsp;the&nbsp;ZKsync&nbsp;Foundation&nbsp;approves&nbsp;emergency&nbsp;upgrades,&nbsp;and&nbsp;some&nbsp;chain-level&nbsp;operational&nbsp;controls&nbsp;remain&nbsp;with&nbsp;designated&nbsp;operator&nbsp;roles.</p>