Thread by @Sykodelic_

#ZKrollups are gathering steam as the next narrative in #Crypto to pop.

But what exactly are they?

And which projects are the best?

I break it down for you today in 2 minutes and share my favourites. 👇

One of the most successful ways to make big money in #Crypto is understanding what themes and narratives are taking place.

For example, In 21/22 we had...

#NFT's
#Metaverse

So far in 23 it's been #AI

#ZKrollups seem to be next.

What are they?

A #ZKrollup is a "Zero Knowledge Proof".

Basically put, a #ZKrollup is a Layer 2 scaling solution that enables blockchains, such as $ETH, to improve transaction speed and minimise gas fees.

Ethereum is widely known for its expensive gas fees and lagging transaction speed at times.

This is because everything $ETH does is On-Chain.

ZK Roll-ups take things Off-Chain.

So how does it work?

They bundle or "roll-up" transactions into batches Off-Chain, use a Zero Knowledge proof to validate, and then process them all at once on $ETH.

This means you can process massive amounts of transactions, in only one transaction.

Saving time + money.

A good comparison for this is Fiat money.

Fiat money(cash) was initially created as a redeemable coupon for Gold.

This allowed the people and the banks to not have to physically send gold every time a purchase was made.

Which also saved a lot of time, money, and security.

The coupons would be tallied up over the course of the day/week.

At the end of that period, it would be totalled up, and then a final transaction would be done in Gold.

In this example...

Gold = Ethereum
Cash = #ZKrollup

So now we know what they are, let's have a look at two of my favourite projects.

1. @syscoin $SYS

$SYS has shown huge strength in the past and is currently only sitting about 2x from its lows.

Current price: $0.2
Mcap: $151m
Price target: $0.47

2. @DuskFoundation $DUSK

$DUSK has already looked pretty strong the last few days, but I believe there's a fair bit more in the tank!

Current price: 40.23
Mcap: $97m
Price Target: $0.29 then $0.38

3. #Degen option - @blkcoin $BLKC

If you're looking for a #degen play, $BLKC is the lowest Market cap coin listed on CMC under #ZKrollups.

Current price: $0.86
Mcap: $800k
Price target: Who tf knows.

And that's a wrap guys!

If you enjoyed this content, make sure to follow me @Sykodelic_ for more!

And RT the first tweet to spread the word.