Cardano Launches First Zero-Knowledge Smart Contract on Mainnet

Cardano has reached a new milestone with the deployment of its first zero-knowledge (ZK) smart contract on the mainnet, a step that could redefine scalability and privacy in its ecosystem.

The transaction, carried out by Input Output, Cardano’s core development team, utilized the Halo 2 proving system for zero-knowledge verification. The initial transaction locked funds, while a subsequent one, verified through a ZK proof generated by Halo 2, successfully unlocked them. The unlocking process came with a modest transaction fee of 2.03 ADA (approximately $1.90).

Halo 2, a zkSNARK system developed by the Electric Coin Company, eliminates the need for a trusted setup and enables cryptographic proofs that verify computations without exposing underlying data.

In a detailed explanation, Input Output underscored the significance of recursive proofs – one of Halo 2’s standout features – which enhance scalability and interoperability by breaking complex computations into manageable segments.

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Input Output acknowledged that while this is a groundbreaking step, further development is required to fully integrate ZK capabilities into the Cardano ecosystem. The integration of zero-knowledge proofs is expected to boost scalability, improve efficiency, and enhance security for the blockchain.

Alexander Zdravkov

Alexander has been working in the crypto industry for three years, during which time he has established himself through his active participation in monitoring market dynamics and technological innovations. His interest in cryptocurrencies and new technologies is not just a professional commitment, but a deep personal passion. He follows the news in the sector daily, analyzes trends, and is excited about every new step in the development of blockchain solutions. His enthusiasm drives him to continuously learn and share knowledge, as he sees the future in digital finance and its role in global transformation.