Having built on numerous chains, we have come to the conclusion that zero-knowledge chains are the future. People do not care about chains. They care about low fees, decentralization and security.
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The majority of TVL in crypto is on Ethereum. There is no doubt that it is the largest pool of money available, especially concerning idle assets that need to earn yield. It fits perfectly with the goals of Syncus. It's decentralized and secure. However, the downside is that gas fees are extremely expensive for the average user we want to onboard. Despite Solana's recent rise, the TVL has not caught up to Ethereum. This trend shows a fundamental trust issue and the importance of security; despite its speed and low fees. In the world of cryptocurrency, where individuals potentially store their entire net worth, sacrificing security is never an option.
While trading volume of Solana is high, the TVL has not increased significantly in relative terms, showcasing that people would rather speculate in the short-term on tokens available to trade, but not for a long-term holding. A similar comparison explains why people choose banks over hiding cash in mattresses for their savings, despite banks' flaws and their slow transaction speeds.
The blockchain trilemma in achieving decentralisation, speed, and security simultaneously, has been a persistent puzzle in the cryptocurrency world. Other chains simply do not have the same level of security or decentralization as Ethereum. They may be cheaper or faster but they are never as decentralized or secure.
The solution is L2 chains built upon Ethereum. Utilizing ethereum's decentralization and security, while still being fast and cheap are what L2s offer. It is the solution to the blockchain trilemma. Yet when using L2s such as optimism or arbitrum (these are optimistic rollups), you will still notice significant fees. Too high for protocols offering products to the masses.
Although transactions are cheaper, they suffer from a lot of the same problems as other chains. The more people that use them, the more congested they get, and the more they cost to use.
zkSync offers the same security of Ethereum (as it's an actual Layer-2) that people find important with their assets. Security of funds cannot be understated. It is the primary reason why Ethereum holds the majority of the cryptocurrency ecosystem TVL.
Syncus is strategically positioned to tap into Ethereum's large pool of liquidity and idle assets, the largest in crypto. If you combine assets from all other blockchains together, Ethereum still has the majority. That is how much of a monopoly Ethereum has compared to all other chains. Even if Syncus extracts a small percentage of Ethereum’s total TVL, it will be priced significantly higher. The pool of money here is simply too large to ignore; on top of that, Syncus can monopolise the entire chain of zkSync with our financial products.
The gas fees on zkSync are also the lowest out of all other Layer-2s, meaning that it also perfectly matches our goal to onboard the average mainstream user who have no crypto experience yet.
In the ever-evolving industry of cryptocurrency, the potential of Zero-Knowledge proofs remains largely under-explored, with an infinite number of untapped possibilities.
When betting on a project, you are not betting on their current products, team, marketing strategy or anything like that - markets change, people change, and products change - you are betting on the core team. These are the people you trust to navigate and to hire people in this ever-changing market. Our journey began working on ZigZag Exchange, a trailblazer in utilising zero-knowledge technology as early as 2021. Transacting billions in volume, worth billions and building on zkSync before it was even widely available. Despite being 3 years old, nobody else has managed to create a DEX on zkSync other than Uniswap AMM-style DEXs. The technological barriers are simply too large for the average developer. There is no team, or even individuals, for that matter, with as much experience or skill building on zero-knowledge technology as us - and again, you are betting on the team.
If you truly believe zkSync and Zero-Knowledge proofs will be an important player in the future, then you believe in Syncus.
Our first goal is to corner and own the zkSync ecosystem through first movers advantage offering a line of inter-connected products.
But right now zkSync's TVL is low.
Many projects choose to target TVL instead of the right chain for the future, not understanding that good projects bring TVL. You do not capture value by building on a chain with a high TVL. If a chain you believe in has a low TVL, it is not a reason to choose a different one, it means you need to bring that TVL with great products.
But TVL is a non-issue for Syncus. Syncus aims to provide products to the masses; a demographic who does not know or need to know how blockchains work or even what a "wallet" is. It will be your grandmother who uses a Syncus ecosystem product, a product with such a simple UX that it is even easy-to-use for the non-technical, even easier than the complicated financial products we have today. Just imagine how many users you lose just by them having to download a MetaMask wallet. All your grandmothers will need to know is that it's safer, better, more ethical, and less perverse than the old banks.
