The DEX Aggregator 1inch Adopts ZKsync Layer-2 Technology to Improve Scalability and Reduce Fees

The ecosystem of decentralized finance (DeFi) continues to evolve rapidly, with innovations aimed at improving scalability and convenience

DEX aggregator 1inch has announced its integration with ZKsync, a layer-2 scalability solution for Ethereum, to enhance the speed and cost-effectiveness of cross-chain swaps.

This integration will enable 1inch users to benefit from faster and cheaper cross-chain swaps, thanks to ZKsync's zero-knowledge technology that drastically reduces gas fees compared to the main Ethereum network, all while maintaining the security of the blockchain infrastructure.

This improvement aligns with 1inch’s goal of providing a more seamless and convenient trading experience for DeFi users.

The announcement, shared via press release, highlights that this new feature is powered by Fusion+ technology, which was launched in beta in September of last year.

Since its introduction, the solution has generated billions in trading volume, showcasing its efficiency in optimizing cross-chain transactions at scale.

One of the innovative aspects of the integration is 1inch's cross-chain swap model, which differs from the utilization of traditional bridges.

Instead, the system employs a mechanism centered around "resolvers," network actors who cover the network fees on behalf of the users.

To obtain resolver status, participants stake 1INCH tokens, creating a competitive ecosystem where users get the best exchange rates.

According to Sergej Kunz, Co-Founder of 1inch, this new implementation will lead to a substantial increase in trading volume and platform adoption:

“Reduced commissions, shorter finalization times, and greater security will attract not only experienced DeFi users but also new investors, expanding liquidity in the ecosystem.”

Advantages of ZKsync technologyZKsync is a layer-2 scalability solution that stands out for its ability to handle a high volume of transactions while maintaining a strong security standard.

Its zero-knowledge technology reduces the load on the main Ethereum network, offering a scalable alternative for DeFi users.

According to its development roadmap, ZKsync aims to achieve processing capacities of up to 10,000 transactions per second.

Moreover, the team behind the technology is exploring strategies to eliminate transaction fees entirely in the future, rendering the blockchain even more accessible.

The adoption of ZKsync is not confined to DeFi, as the traditional banking sector has also expressed interest in the technology.

Recently, Swiss bank UBS announced that it is trialing ZKsync for one of its gold-backed financial products, highlighting the growing recognition of layer-2 solutions as critical tools for enhancing the efficiency and security of financial operations.