Zero-Knowledge Proofs on Bitcoin

Zero-knowledge proofs (ZKPs) are at the heart of some of Ethereum’s Layer-2 projects, and now they are getting ready to bring changes to Bitcoin. Aiming to accelerate transactions on the blockchain, and boost scalability and privacy, the company ZeroSync is developing new technology.

Today, we are going to have a closer look at the initiative, and how it will benefit the largest cryptocurrency.

Zero-knowledge proofs on Bitcoin

We talked about ZKPs in more detail in this article, in short, the technology allows someone to prove that they are aware of some data, without telling what that it is exactly. Thus zero-knowledge proofs enhance security.

ZeroSync is currently creating software that will facilitate concise ZK-proofs on Bitcoin. This technology will enable users to authenticate the state of the network without downloading all the existing information (that is taking up approximately 500 GB as of April 2023) or depending on a third party for verification.

In order to decrease the computation cost and complexity, the company is planning to compress the blockchain history into a concise proof. After the proof is created, the network’s nodes will be able to employ it to synchronize with the network quickly. Proofs are supposed to be concise, no matter how much the chain grows.

The latest big development became known on March 31, 2023, when ZeroSync announced its partnership with Blockstream, which means that chain proofs will be broadcasted via satellite. This means that users will have an opportunity to quickly sync Bitcoin from almost anywhere.

Furthermore, the company has partnered with StarkWare, which is mentioned as a sponsor on the project’s website. ZeroSync utilizes a proof system called STARK which relies on hash functions and polynomials without the need for any new cryptographic assumptions. The project utilizes Cairo, a special programming language developed by StarkWare. Anyone can access the codebase.

About ZeroSync

ZeroSync is a nonprofit headquartered in Zug, Switzerland. The company’s board is represented by a multi-signature wallet. The key holders are not disclosed but the project claims that they have expertise in Bitcoin and ZKPs.

The company was launched fairly recently, in July 2022 by Lukas George and Robin Linus. Apart from them, some of the core contributors are mentioned on the site.

Going forward, the team plans to enhance the security and find practical cases for using ZKPs on Bitcoin, but none of the dates are defined at the moment.

Conclusion

It seems like ZKPs are a rising trend nowadays. This innovation might make Bitcoin operations less computationally expensive, faster, and more secure, which can have a positive impact on the blockchain space in general. We are yet to discover the true potential of ZKPs for the network, it is certainly exciting to see new developments. 

If you want to keep reading about new technologies related to the crypto space, we have articles about zkEVM on Polygon, the future of Web3, and the AI revolution.