An Insight into zkLink
Hello guys, have you ever thought of having a multi-chain integration DEX based on ZK-Rollup. You don’t have to worry anymore because zkLink is here. zkLink is also a community that is devoted to build a decentralized and comprehensive platform for financial scenarios.
zkLink also carries out certain purposes. a few of which are:
“One-Click” Cross-Chain Trading
zkLink supports one-click swapping with assets on different chains. For example, users can swap UNI on Ethereum for CAKE on BSC via zkLink with only one click and withdraw targeted tokens to respective chains to make full use of capital. All intermediate steps are performed behind the scene: users do not need to go through these steps by themselves, saving much trouble, time, and money. With zkLink, users can switch assets easily among disconnected chains and try out different DeFi products spread over other chains.
Higher Capital Efficiency
zkLink V1.1 refers to Uniswap V3 for liquidity pool mode and introduces concentrated liquidity, so that can LPs can concentrate their capital within custom price ranges. In this way, the capital eﬀiciency can be increased dramatically by about 4,000 times. Besides, different LPs can provide liquidity in the overlapped price range so that market depth can be further improved. In addition, thanks to the negligible cost, LPs can modify their position frequently to maximize their earnings. In general, user experience is optimized by more concentrated liquidity and nearly real-time tradings.
Loan with Cross-Chain Assets
zkLink V2 will support loaning with assets from different chains, providing more cross-chain financial scenarios. For example, users can pledge UNI on Ethereum to borrow BUNNY on BSC in a safe environment since the Layer2 network, based on ZK-Rollup, functions completely decentralized, and users hold their assets and the private key during the whole course.
Effortless Management of Asset and Revenue
With the help of zkLink, users can deposit funds and earn revenue without restriction or authentication. zkLink provides users with a unified interface regardless of the operational disparity of different ecosystems, minimizing the cost of learning. zkLink will support blockchain interoperability with EVM-compatible public chains including Ethereum, BSC, HECO in the first phase and will support more eco-chains such as Solana and Fantom in subsequent versions.
Limit Order Transactions
Based on the concentrated liquidity model of Uniswap V3, users of zkLink can simulate limit order by providing liquidity in a very narrow price range. When the price hits the trigger point, it is equivalent to completing a limit order transaction.
Apart from the unique features above, zkLink is exploring more innovative DeFi scenarios such as cross-chain farming and the financialization of NFT, trying to build a free market where assets can interact with each other and create higher values for holders. But on top of it, user experience is permanently attached with the most importance.