Matter Labs Secures $2 Million To Bring Zero-Knowledge Proofs to Ethereum Blockchain

There are currently several initiatives trying to scale the Ethereum network. They range from the “official” Ethereum 2.0, Raiden, Plasma, zk-SNARKS, among others. Now, however, a new startup called Matter Labs was just able to raise $2 million USD during a seed round to create a new scaling initiative for ETH.

Alex Gluchowski, the co-founder of the company, has affirmed that the product intends to be more scalable than Ethereum is today and the biggest point is that the decentralization and the security of the network will not need to be sacrificed in order to do it. According to him, the clients will be able to deposit funds and then let them be safe.

In order to help Ethereum to scale, the company will use a technology known as zero-knowledge proofs (ZKPs). The idea behind this technology is that it leverages mathematical problems quickly and with fewer costs than the alternatives. However, this new scaling solution is still very early in its development.

Several companies participated in the investment round. One of them was Placeholder, which led the round. Other companies included Dekrypt, Hashed, 1kx, and Dragonfly Capital Partners. Matter Labs was officially launched on December 2018, and it has also received some money from the Ethereum Foundation after its launch.

The CEO of Hashed, Simon Seojoon Kim, affirmed that the scaling solution that is being provided by this company will become important in accelerating the growth of the Ethereum network.

Howard Hu, the founder of Dekrypt, affirmed that the ZKPs technology can make several transactions in just a few moments, so it is a really effective way to level up the scalability of the Ethereum platform.