Key Points
- Binance is investing in Zircuit, a Layer 2 network developer, to enhance Ethereum’s security.
- Zircuit, currently in the testing phase, uses AI to detect potential hacks before they reach the mainnet.
Binance Supports Zircuit for Enhanced Ethereum Security
Binance is showing its support for Ethereum’s future by investing in Zircuit, an innovative Layer 2 network developer.
This investment demonstrates Binance’s dedication to security, a strong suit for Zircuit, which employs artificial intelligence (AI) to protect transactions before they are processed on the blockchain.
Zircuit’s Unique Approach to Security
Zircuit differs from other Ethereum Layer 2 solutions like ZKsync and Scroll in its operation.
It introduces “sequencer-level security” powered by AI. In layman’s terms, as soon as transactions are submitted on Zircuit, an AI system begins analyzing them.
This system scrutinizes transactions to detect potential hacks or exploits before they are included in blocks, aiming to prevent malicious activity from ever reaching the mainnet and creating a safer environment for both developers and users.
Co-founder of Zircuit and former executive at blockchain security firm Quantstamp, Martin Derka, explains that Zircuit checks each transaction for possible effects before adding them to blocks. He states, “Transactions considered to be hacks are isolated, stopping them from causing damage.”
Preparation for Mainnet Launch
Zircuit, founded in 2022, is currently being tested on its testnet, which was launched in November 2023, with the mainnet launch planned for this summer.
The project has already gained significant traction, boasting over $3.5 billion in staked assets and a “Build to Earn” program that has drawn in more than 1,100 applications.
Notable DeFi projects like Ethena, Renzo, and Ether.fi are listed as their launch partners.
Zircuit’s staking program, which gathers liquidity in anticipation of the mainnet launch, is further driving this pre-launch momentum.
Users can deposit and withdraw assets via a Layer 1 smart contract, and upon the mainnet launch, they can choose to withdraw their funds or transfer them to the Zircuit network.
With a current team of about 30 focused on engineering, Zircuit is actively looking to expand its talent pool, particularly seeking applied cryptographers with Rust programming skills.
Binance’s investment in Zircuit indicates growing confidence in the potential of AI-powered security solutions for scaling Ethereum.
As Zircuit gears up for its mainnet launch, all eyes are on how its innovative approach can pave the way for a safer and more efficient future for decentralized applications.
