Zyfi, a paymaster service based on the ZkSync protocol, recently received a significant boost in funding, raising $2 million in a private funding round. This funding will help Zyfi bootstrap native account abstraction on zkSync and ultimately improve the decentralized finance (defi) landscape within the Ethereum ecosystem. Despite advancements in blockchain and crypto adoption, tools like self-custodial wallets and executing on-chain transactions can still be challenging for some users. A major obstacle in defi activities is gas fees, which users pay to miners or validators for confirming transactions. Zyfi aims to simplify gas options across protocols and solutions to address this issue.
The account abstraction thesis of Zyfi leverages the zkSync-powered layer to allow users to pay gas in Ethereum (ETH) or any ERC-20 token, providing a comprehensive solution to the gas conundrum. This is achieved through native account abstraction, which enables standard wallet addresses, known as Externally Owned Accounts (EOAs), to operate more like smart contracts. Ethereum co-founder Vitalik Buterin has highlighted account abstraction as a key step in driving adoption and improving the onboarding process for Web3 users. With these unlocked features, users have more flexibility in their wallets, including customizing gas payments, setting spending limits, and implementing social recovery.
Zyfi has already deployed this technology for nearly one million transactions and more than 110,000 users on zkSync. The recent funding from investors like Everstake Capital, Tenzor Capital, Apvc.capital, Criterionvc, NxGen, Majinx Capital, v3ntures, and Momentum8 will enable developers to focus on enhancing products for end-users. Zyfi’s success in securing $2 million in private funding marks a significant milestone in their mission to transform the on-chain experience through native account abstraction for all wallets. By simplifying gas options and improving the functionality of wallets, Zyfi is poised to make a meaningful impact on the defi landscape within the Ethereum ecosystem.
In conclusion, Zyfi’s innovative approach to addressing gas fees and improving account abstraction on zkSync has garnered significant support from investors and industry partners. By simplifying gas options and unlocking additional features for wallet users, Zyfi is paving the way for a more seamless and user-friendly on-chain experience. As the defi landscape continues to evolve, solutions like Zyfi are essential in driving adoption and making blockchain technology more accessible to a broader audience. With the recent funding secured, Zyfi is well-positioned to further enhance its products and services, ultimately benefiting end-users within the Ethereum ecosystem and beyond.
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