Institutional Adoption Drives ZKsync Privacy Tools Growth
ZKsync leads growth in Ethereum Layer-2 privacy tools as institutional adoption accelerates. Matter Labs CEO Alex Gluchowski highlights demand for system-level privacy and zero-knowledge proofs to support private transaction flows with full internal visibility.
Regulatory clarity, including the reversal of Tornado Cash sanctions, has boosted confidence in privacy technologies. ZKsync’s new tokenomics proposal and staking pilot drove seven-day fee growth to the top among Layer-2 networks. Production deployments of institutional privacy nodes are expected by year-end, marking a milestone for blockchain settlement.
Bullish
News of increased ZKsync fee growth, driven by tokenomics improvements and staking pilots, is likely to boost short-term demand for ZK tokens. Regulatory clarity and the reversal of Tornado Cash sanctions reduce compliance risks, further supporting institutional interest.
In the long term, the rollout of production privacy nodes will strengthen ZKsync’s network effects and drive sustainable growth in transaction volume and token utility. These factors together suggest a bullish outlook for ZKsync and its native token.