cryptographic proof that enables one group to ensure that it holds specific data without disclosing it. This is accomplished by employing a <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-private-key-secret-key/">secret key</strong></a> produced prior to the transaction. It is a component of the protocol for the cryptocurrency Zcash.</p>\n<p>Moreover, zero-knowledge indicates that one party wants to <strong>prove some statement is true</strong> <strong>without revealing why it is true</strong>. Succinct, on the other hand, refers to that zero-knowledge proof is able to be verified in a few milliseconds, even in the scenario when statements are connected to large-scale programs.</p>\n<p>The term \"non-interactive\" refers to a zero-knowledge protocol in which the <strong>prover and verifier have little to no contact</strong>. 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When passwords are not being shared, it becomes impossible to hack them. While this term is widely used within the context of cryptocurrencies, it can be utilized in other fields as well.</p>\n<p>Zero-knowledge proofs open endless possibilities for transforming the process of the way we acquire, use, and transmit information. For instance, making cryptocurrency transactions completely anonymous and untraceable. This means that cryptocurrency holders could show that they, indeed, hold said cryptocurrency without disclosing any personal or private information.</p>\n<p>When using this type of authentication, all of your data, such as personal chats and transactions, can be verified with zero-knowledge proofs. <strong>No one outside of the network is able to access said data.</strong></p>\n<h2>Why Is There a Need for Zero-Knowledge Proofs?</h2>\n<p>In the crypto world, a <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-blockchain/">blockchain is one of the key elements of cryptocurrency transactions. However, it can be traced back to the user. This happens because all transactions are visible to everyone on the network when the blockchain is public.</p>\n<p>This is where zero-knowledge proofs come in. <strong>Security, privacy, and confidentiality</strong> are the factors why cryptocurrency companies implement ZKPs in their own blockchains.</p>\n<p>Their main feature is providing privacy when making transactions on the <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-public-blockchain/">public blockchain</strong></a>. It&rsquo;s done by confirming that the transaction has successfully gone through while maintaining data confidentiality. It&rsquo;s a way for different parties of the transaction to confirm among themselves that an asset is set to a specific value without disclosing any other data.</p>\n<p>Additionally, zero-knowledge proofs allow users to<strong> send and receive complex documents</strong>. ZKPs make it possible to take data and encrypt it into smaller pieces (<a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-block/">blocks). This way the holder of the document can determine what information is within each block and who can access it.</p>\n<p>Moreover, messenger applications that facilitate zero-knowledge proofs enable users to <strong>send private messages</strong> while maintaining confidentiality. Only the most necessary information is shared which is usually not personal data.</p>\n<h2>How Do Zero-Knowledge Proofs Work?</h2>\n<p>A single <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-node/">node runs the application code on the blockchain, or completely off-chain. If it&rsquo;s successfully completed, then the confirmation message is sent to other parties of the transactions for verification via the blockchain.&nbsp;</p>\n<p>There are two types of zero-knowledge proofs:</p>\n<ul>\n<li><strong>Interactive</strong>. In this case, the prover and the verifier must communicate in order to convince the prover that the verifier holds certain information. Generally, their interactions are limited to the principles of mathematical probability.</li>\n<li><strong>Non-Interactive</strong>. In this case, there&rsquo;s no need for the prover and the verifier to communicate between themselves. The verification process can be postponed. It&rsquo;s important to keep in mind that additional computing devices or software programs might be needed in this type of ZKP.</li>\n</ul>\n<p>The most popular example of zero-knowledge proof implementation is <strong>Z-Cash</strong> which is a cryptocurrency that provides private transaction addresses. Z-Cash features the <strong>AdEx protocol</strong> that facilitates ad auctions based on decentralized zero-knowledge proofs.</p>","level":"medium","meta_title":"What is Zero-Knowledge Proof? 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Since they mix on-chain and off-chain processes, ZK-rollups outperform typical <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-layer-1-blockchain/">Layer 1 blockchains</strong></a> like Ethereum.</p>\n<p>While the Ethereum mainnet relies solely on on-chain activity to process transactions and confirm blocks, Layer 2 ZK-rollup solutions also include off-chain features. <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-merkle-tree/">Merkle Trees</strong></a> are one of the key components that allow ZK-rollups to validate transactions more quickly than Layer 1 blockchains do.</p>\n<p>Merkle Tree is a mathematical structure that allows blockchains to assure that no one can tamper with data in an on-chain ZK-rollup record. A ZK-rollup is typically made up of two Merkle Trees that are both kept on a <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-smart-contract/">smart contract</strong></strong></a>, or on-chain. The accounts are stored in one tree, while the balances are kept in the other. Any other data that the ZK-rollup generates and uses is stored off-chain.</p>\n<p><strong>The off-chain storage of data</strong> is one of the reasons why ZK-rollups perform so much better than their Layer 1 equivalents. Merkle Trees contain only the most significant data related to the smart contract. Besides, Merkle Trees are accessed and requested to output data far less frequently than Layer 1 solutions.</p>\n<p>The blockchain saves a significant amount of processing power and time as a result of this. Besides, gas prices become lower as less of the blockchain's capacity is used for transaction validation. <strong>This makes Layer 2 solutions, particularly ZK-rollups, a preferable choice for small-time traders.</strong></p>\n<p>ZK-rollups are becoming more and more popular among developers who want to improve usability, as well as among investors and traders who want to perform transactions faster and cheaper. However, ZK-rollups and Layer 2 solutions are just the beginning of an improved approach to blockchain technology.</p>\n<p>In addition, since ZK-rollups use smart contracts to validate the proof of the transactions in Layer 2, it offers several advantages, such as higher transaction throughput and finality time, compared to <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-optimistic-rollup/">optimistic rollups</strong></a>. The <strong>DeversiFi</strong> decentralized exchange and the <strong>Immutable X</strong> NFT exchange are a few examples of exchanges that use ZK-rollups.</p>","level":"medium","meta_title":"What is Zero-Knowledge Rollup? Definition & Meaning | Crypto Wiki","meta_description":"Zero-Knowledge Rollup meaning: Zero-Knowledge Rollup - a Layer 2 blockchain solution that computes and stores data off-chain while keeping funds in a smart contract.","meta_keywords":null,"language":"en","created_at":"2022-04-04T14:06:37.000000Z","updated_at":"2022-09-20T12:06:31.000000Z","preview_url":"https://www.bitdegree.org/crypto/learn/crypto-terms/what-is-zero-knowledge-rollup"},"currentChapter":"Z","currentSection":"what-is-zk-snarks","chapterTitle":"Z","readingLevel":"medium"},"url":"/crypto/learn/crypto-terms/what-is-zk-snarks","version":"cdd198d50cbe5c9c21c9329d7c096ffc"}" class="container-fluid d-flex crypto-book p-0">
Crypto Terms: Letter Z

What is Zk-SNARKS?

Zk-SNARKS MEANING:
Zk-SNARKS - refers to a proof that enables one group to guarantee it owns particular data without disclosing it.
Medium
2 minutes

Let's find out Zk-SNARKS meaning, definition in crypto, what is Zk-SNARKS, and all other detailed facts.

Zk-SNARKs stands for "Zero-Knowledge Succinct Non-Interactive Knowledge Argument." In other terms, a zk-SNARK is a cryptographic proof that enables one group to ensure that it holds specific data without disclosing it. This is accomplished by employing a secret key produced prior to the transaction. It is a component of the protocol for the cryptocurrency Zcash.

Moreover, zero-knowledge indicates that one party wants to prove some statement is true without revealing why it is true. Succinct, on the other hand, refers to that zero-knowledge proof is able to be verified in a few milliseconds, even in the scenario when statements are connected to large-scale programs.

The term "non-interactive" refers to a zero-knowledge protocol in which the prover and verifier have little to no contact. As a result, they can only trade one proof.

Only the proof of the transaction on the blockchain node is being recorded by zk-SNARK, protecting the identity of the sender and receiver, as well as other details associated with the transaction.

In addition, zk-SNARKs may be used to provide a person's identification on a blockchain. For example, if B wishes to confirm A's identity, they can send a hidden message to A, without informing them what it is, and ask A to decode it using their private key. A can then transmit the message back to B, therefore establishing their identification.

When engaging on the blockchain, a user might be required to demonstrate that certain requirements have been satisfied before they may execute a transaction. For instance, they must demonstrate that they have adequate money to conduct a transaction without disclosing how much money they have in their wallet in total.

Overall, developers began working on privacy-focused coins because some people think that the initial cryptocurrencies, such as Bitcoin, lack privacy. The most notable of privacy-focused coins was, indeed, Zcash.