From LayerZero to ZK Layer1, how does Union initiate the era of cross-chain interoperability 2.0?

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1 day ago

Recently, I have been paying attention to a cross-chain interoperability project called Union, a Layer-1 project centered around ZK interoperability, aiming to disrupt the current cross-chain market landscape dominated by LayerZero. The question arises: what distinguishes it from other cross-chain interoperability projects, and what are its highlights? Will it bring new opportunities to the ZK infrastructure track? Here are some of my observations:

1) It is undeniable that the market demand for cross-chain interoperability is rapidly growing, but existing solutions each have their shortcomings. LayerZero primarily covers the EVM ecosystem and once led the cross-chain popularity wave based on light node verification paths. Wormhole relies on a multi-signature security committee to ensure cross-chain security, while Axelar depends on a network of validators to handle cross-chain messages.

In contrast, Union does not rely on oracles, multi-signatures, or MPC, but directly chooses to use ZK technology to verify consensus between chains, providing efficient and scalable interoperability capabilities without sacrificing security.

This clearer hierarchical structure of interoperability protocols based on ZK technology allows Union to deeply connect different ecosystems, not limited to EVM-compatible chains, supporting various development environments including Solidity, Move, Cosmos, Solang, and BitVM, which is evidently much broader than the EVM-focused coverage of LayerZero.

2) When many people mention ZK technology, they first think of Layer 2 scaling and privacy protection (state proofs submitted from Layer 2 to Layer 1), which clearly does not leverage the full potential of ZK technology. However, Union's innovation lies in applying ZK technology to the field of cross-chain interoperability, expanding the application boundaries of ZK technology.

With the support of ZK technology, it can directly verify consensus states between different chains without relying on trusted third parties, making it safer and more efficient than traditional cross-chain bridges. Through ZK proofs, Union can achieve cross-chain interactions in sub-second levels, providing an almost instantaneous transaction confirmation experience, which is a revolutionary upgrade in user experience for cross-chain scenarios.

It is worth mentioning that testnet data shows Union has processed over 58 million cross-chain transactions and has 250,000 Dashboard users, recently launching App v2 and opening a new testnet.

3) Union has also made significant strides in the BTCFi space. According to public information, Union has secured nine-figure TVL commitments from top LST protocols such as Bedrock, Lombard, and Solv. These LSTs will bridge from Ethereum to Babylon through Union, making it an important asset bridge in the Bitcoin ecosystem.

Union has also launched the BTCFi Flywheel program, collaborating with Escher (LST), Tower (DEX), and SatLayer (Restaking) to create a yield ecosystem, aiming to make BTC truly "earn interest." This strategic positioning not only responds to current market trends but also establishes a unique competitive advantage for Union in the Bitcoin ecosystem.

In fact, Bitcoin, which naturally lacks programmability, can directly showcase the cross-chain application capabilities of ZK technology through connections with other chains. Several projects have previously attempted to use the zkVM paradigm as an expansion solution for the Bitcoin ecosystem.

4) It should also be noted that its financing has received recognition from many top institutions, having completed $16 million in funding, with investors including gumi Cryptos Capital, LongHash Ventures, Foresight Ventures, and Borderless Capital.

From the perspective of ecosystem expansion, Union is also moving quickly. Data shows that it has established over 40 strategic partnerships, attracting more than 50 collaborative projects, including leading projects such as Berachain, Polygon, Celestia, Babylon, Scroll, Sui, and Avalanche. This is quite a commendable achievement in the current market environment.

In conclusion, if LayerZero represents the 1.0 era of cross-chain interoperability, Union is expected to become a pioneer of cross-chain interoperability 2.0 based on ZK technology. It is attempting to create a "highway on the chain" that connects various homogeneous/heterogeneous main chains, L2s, Rollups, and Appchains, aiming to become the infrastructure channel for inter-chain interoperability.

However, it is also important to recognize that truly shaking up projects like LayerZero, which already have a certain market share and ecological depth, is not easy. Although Union's technical path is advanced, the complexity and maturity of ZK technology itself also pose a challenge. Ultimately, its success will depend on its actual performance after the mainnet launch and the speed of sustainable ecosystem development.

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