Contents:

What Is ZKsync? Inside Ethereum’s Expanding ZK Network

By:
Andrew Carr
| Editor:
Paul Sazan
|
Updated:
September 22, 2026
|
5 min read
|
Crypto Project Reviews

ZKsync started as a way to make Ethereum faster and cheaper. In 2026, it has grown into something broader: an ecosystem of ZK-powered chains built around ZKsync Era, ZK Stack, and the Elastic Network.

The idea is to keep Ethereum as the settlement layer while moving more execution to scalable chains that can be customized for different applications and markets.

What Is ZKsync?

ZKsync is an Ethereum scaling ecosystem built around zero-knowledge proofs and interconnected ZK chains.

ZKsync Era is its main general-purpose Layer 2, while ZK Stack lets developers launch their own ZK-powered chains. These chains can connect through the Elastic Network, creating a broader system that scales beyond a single rollup.

How Does ZKsync Era Work?

ZKsync Era processes transactions away from Ethereum, then proves that the resulting state changes are valid.

The flow is simple:

  1. Users submit transactions on ZKsync Era.
  2. Transactions are executed and grouped into batches.
  3. ZKsync generates a zero-knowledge validity proof.
  4. Ethereum verifies the proof and settles the result.

This lets Era handle more activity at lower cost while still using Ethereum as the settlement and verification layer.

ZKsync Era vs. ZK Stack vs. Elastic Network

Term What It Means
ZKsync Era The main general-purpose ZK rollup in the ecosystem
ZK Stack A framework for building custom ZK-powered chains
Elastic Network The wider network connecting ZKsync-based chains

The distinction matters because ZKsync is no longer just one Layer 2. Era is one chain, ZK Stack is the technology used to build more chains, and the Elastic Network is the broader system connecting them.

Why ZKsync Uses Zero-Knowledge Proofs

ZKsync uses zero-knowledge proofs to verify that transactions were processed correctly without replaying every transaction on Ethereum.

This helps move execution off the main Ethereum network while keeping settlement tied to Ethereum. The result is higher throughput and lower transaction costs.

Despite the name, zero-knowledge technology does not make normal ZKsync Era transactions private by default. In this context, ZK proofs are mainly used for validity and scaling.

What Makes ZKsync Different?

ZKsync combines Ethereum settlement with several features designed to improve both scalability and user experience:

  • Native account abstraction: accounts can support programmable logic instead of behaving only like standard private-key wallets.
  • Paymasters: apps can sponsor gas or let users pay transaction fees in supported tokens.
  • Ethereum-friendly development: Solidity and familiar Ethereum tooling remain part of the developer workflow.
  • Custom ZK chains: ZK Stack lets projects launch chains built

What Is the ZK Token?

ZK is the governance and coordination token of the ZKsync ecosystem.

The token has a fixed supply of 21 billion ZK and is used in ZKsync governance, where token holders can participate in decisions around protocol upgrades and ecosystem direction.

ZK is not simply a gas token for every chain in the network. Its main role is governance and coordination across the broader ZKsync ecosystem.

Benefits and Risks of ZKsync

ZKsync offers several clear advantages:

  • Lower transaction costs: more execution happens away from Ethereum mainnet.
  • Higher scalability: transactions can be processed in batches before settlement on Ethereum.
  • Flexible chain design: ZK Stack lets projects build custom ZK-powered chains.
  • Better wallet UX: account abstraction and paymasters can simplify how users interact with apps.

There are also trade-offs. ZKsync Era still depends on additional Layer 2 infrastructure, smart contracts, operators, and governance mechanisms beyond Ethereum itself. The wider Elastic Network also needs sustained developer and user adoption for the multi-chain model to succeed.

As Ethereum expands across Layer 2 networks, managing assets across different chains becomes increasingly important.

Atomic Wallet gives users a self-custody environment for managing crypto while keeping control of their private keys.

Where ZKsync Is Going Next

ZKsync’s next phase is centered on expanding the Elastic Network rather than scaling Era alone. More projects can launch specialized chains with ZK Stack while using Ethereum as the underlying settlement layer.

The ecosystem is also moving into institutional infrastructure through products such as Prividium, which applies ZK technology to permissioned environments. The broader goal is to make ZKsync a framework for many different chains rather than a single Layer 2.

‍

FAQ

Subscribe to our newsletter
Sign up to receive the latest news and updates about your wallet.
Related Posts