Calculating at today’s Matic Price, if the transaction is duly completed, Polygon’s investment will amount to $627.5 million in zero-knowledge technology.
The Ethereum based platform – Polygon is said to have prepared to spend as much as 250 million MATIC dollars ($627.5million) just to tackle the privacy compromise and data leak problems in a deal with Mir. Mir is a zero-knowledge cryptography startup.
Although this novel technology may seem abstract at first, it is a hugely important tech for the whole of crypto. With zero-knowledge, data can be shared between a sender and a receiver for verification purposes without revealing personal information or data. This technology therefore helps tackle the highly disturbing problem regarding privacy.
This technology is useful in decentralised finance apps and platforms. It will hugely help the decentralised ride-share apps as well as decentralised health insurance. It is highly useful in the mentioned service areas because there are usually needs for node verification of people’s personal data on the blockchain. So with this novel technology, information robbery or privacy leak is prevented.
Mir’s development is targeted at creating two subcategories or Zero-Knowledge Proofs (ZKPs), which are PLONK and Halo. This is to replace the old cryptographic techniques used which has two subcategories: SNARK and STARK. This advancement of theirs will allow proofs of identity to be generated only in seconds. Thereby strengthening privacy security as well as improving verification check speeds considerably.
Although PLONK still needs a trusted source to set up the verification, Halo on the other hand can carry out the verification process in a decentralised manner. This whole system is built to be very fast in carrying out checks. Complex information will be passed through the cryptographic verification check via the blockchains, and as such take up a sizable amount of space. This, maybe, is a potential challenge to this system, as it may affect its applicability. Redacted photo IDs for instance can take up a large space.
However, Sandeep Nailwal, co-founder of Polygon said that “Polygon plans to focus on ZK cryptography as the end game for blockchain scaling.” Placing so much faith in the potential of Zero-Knowledge.
Polygon is currently found to be making some strategic investments in what the company believes is the future of crypto and financial markets largely.
Further quoting the words from Polygon, the giant Ethereum based exchange, “We have made a strategic decision to explore and encourage all meaningful scaling approaches and technologies at this stage. We believe this is the way to establish Polygon as the leading force and contributor in the ZK field and onboard the first billion users to Ethereum.”
Polygon says that the acquisition of Mir is a step towards a $1 billion devotion to zero-knowledge which the company highlighted as a necessary move to position herself as a leading company that’s helping to develop the Zero-Knowledge technology. We wait for more about Polygon’s moves towards the set goal for the information-protection zero-knowledge tech space.