Taiko: A Decentralized Ethereum-Equivalent ZK-Rollup
Unlocking Scalability and Compatibility for Ethereum: Introducing Taiko’s Decentralized Ethereum-Equivalent ZK-Rollup

Introduction
Ethereum, one of the most popular blockchain networks, has faced challenges with scalability, resulting in congested networks and high transaction fees. To address these issues, Ethereum has embraced rollups, layer-2 scaling solutions that enable increased transaction throughput without compromising decentralization or security. Taiko is an innovative project that aims to implement a ZK-Rollup, staying true to Ethereum’s specifications while mitigating the limitations of non-ZK-optimized aspects. By achieving full Ethereum equivalence, Taiko aims to support existing smart contracts, dapps, developer tooling, and infrastructure. This article explores Taiko’s approach and its commitment to Ethereum’s core principles.
The exploration of layer-2 scaling solutions began in the Ethereum ecosystem in 2017 with the introduction of Plasma. Layer-2 solutions move computations off-chain while keeping essential data either on Ethereum or off-chain. Rollups gained significant attention among these solutions due to their strong security guarantees and broad application support compared to layer-2 solutions like Plasma and State Channels. Vitalik Buterin and Barry Whitehat, along with other Ethereum researchers, proposed ZK-Rollups in 2018, and they were implemented on the Ethereum mainnet since 2019, starting with Loopring.
However, early versions of ZK-Rollups were limited in their applicability due to constraints on zero-knowledge proof (ZKP) capabilities. They were not generalized and were application-specific, preventing the execution of many Ethereum use cases and composability. Optimistic rollups, implemented by projects like Optimism and Arbitrum in 2021, aimed to achieve EVM-compatibility by relying on fraud proofs instead of validity proofs. While this approach allowed for EVM execution, it introduced drawbacks such as longer finality times and reliance on network participants to identify incorrect states.
The ideal solution was to combine the advantages of EVM rollups and ZK proofs. Several projects, including zkSync, Starkware, Polygon, and Scroll, have been working on ZK-EVM implementations, with the Ethereum Foundation’s Privacy and Scaling Explorations unit playing a crucial role in research and development. Advancements in ZK proving systems by projects like ZCash and Aztec have further contributed to the progress in this area. The primary trade-off today lies between EVM-compatibility and ZK-efficiency for proof generation.
Taiko’s Approach
Taiko’s primary objective is to prioritize EVM-equivalence at the opcode level while maintaining Ethereum-equivalence at the broader systems level. This means ensuring compatibility with existing Ethereum smart contracts, dapps, developer tools, and infrastructure. Taiko aims to provide a seamless transition for developers, network participants, and end-users, allowing them to continue using their preferred Ethereum products and patterns.
To achieve its goals, Taiko has focused on protocol design to mitigate any potential performance drawbacks associated with ZK proofs. By optimizing the implementation and carefully considering trade-offs, Taiko aims to deliver a decentralized Ethereum-equivalent ZK-Rollup that meets the requirements of scalability, security, and compatibility.
Conclusion
Taiko represents an exciting development in the pursuit of scalability for the Ethereum network. By implementing a ZK-Rollup that stays true to Ethereum’s specifications while mitigating the limitations of non-ZK-optimized facets, Taiko aims to achieve full Ethereum-equivalence. This compatibility ensures that existing smart contracts, dapps, developer tooling, and infrastructure can seamlessly transition to Taiko’s rollup solution. By prioritizing EVM-equivalence and decentralization, Taiko aligns with Ethereum’s core principles, promising a secure and scalable environment for the Ethereum community and its users.
Author details:
Jitendra Naik
Reference Links:
[1] Ethereum’s Rollup-centric roadmap: https://ethereum-magicians.org/t/a-rollup-centric-ethereum-roadmap/4698
[2] Calldata cost reductions: https://eips.ethereum.org/EIPS/eip-4488
[3] EIP-4844: https://academy.binance.com/en/articles/what-is-eip-4844-in-ethereum-and-how-can-it-benefit-users
[4] Plasma as a layer-2 solution: https://ethereum.org/en/developers/docs/scaling/plasma/
[5] Vitalik Buterin’s proposal of ZK-Rollups: https://vitalik.ca/general/2021/01/05/rollup.html
[6] Barry Whitehat’s contribution to ZK-Rollup research: https://medium.com/fcats-blockchain-incubator/how-zk-rollups-work-8ac4d7155b0e
[7] Ethereum Foundation’s Privacy and Scaling Explorations unit: https://github.com/privacy-scaling-explorations/