New development allows to use Ethereum with more privacy and lower cost

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Key facts:
  • Aztec focuses not only on enabling lower commissions, but also more privacy.

  • It had been announced in March and was in the testing phase, but has now started operating on Ethereum.

Ethereum users have a new option to make cheaper and faster transactions. This is the Aztec rollup, which also adds benefits in terms of privacy when operating.

Like the other Ethereum second layer rollup scaling solutions, the main purpose of Aztec is to reduce commissions that are paid for each transaction in the main layer (L1) of the network. This is achieved by grouping or “rolling” several of them into a second layer and then moving them all together and paying a single transaction fee.

However, as described in Official site of the project, Aztec also enables greater privacy by encrypting information about the participants of a that your transaction history is not visible.


New development allows to use Ethereum with more privacy and lower cost

The development of this rollup had been announced at the end of March by Thomas Walton-Pocock, CEO of Aztek. Even Vitalik Buterin himself, co-founder of Ethereum, highlighted the novelty through a publication On twitter.

However, even though it already existed, it was not until last Wednesday, June 15, that the rollup took its first transactions to the main layer (L1) of Ethereumas reported by Aztec through your social network account.

Characteristics of the Aztec rollup for Ethereum

In a publication on Medium, the CEO of Aztec had explained that it is a rollup of the zero-knowledge type or «zero knowledge», which uses validity tests to prove the existence of a valid string. Its differences with the optimistic rollups have been explained in a CriptoNoticias article, and they are based precisely on the method that each one adopts to test the validity of the transactions it covers.

Aztec allows up to 100 transactions per second (tps) in the main layer. Its operation and the features it tries to offer in terms of privacy make the rollup a little less efficient than others focused solely on cost and speed. In theory, these latest rollups offer up to 2,000 tps or even more.

New development allows to use Ethereum with more privacy and lower cost
Transactions with Aztec are up to nine times cheaper than on the Ethereum mainnet, according to its developers. Source: Aztec.

As Walton-Pocock describes in his article, there are several technical factors that make privacy-focused rollups like Aztec more difficult to executewhich increases both the time and the cost that each transaction demands.

In order to offer more affordable rates and greater privacy, Aztek uses a protocol called ZK-SNARK (Zero-Knowledge Succinct Non-Interactive Argument of Knowledge). It consists of a cryptographic proof that allows a participant in a transaction to prove that he has certain information without revealing it.

How much does it cost to trade with Aztec and other rollups?

site data show that Aztec is the highest commission rollup to trade on Ethereum. At the time of writing this article, the rates were even above those of the L1, but it should be noted that this is not something that happens frequently. In April, with the rollup still in the testing phase, this newspaper reported that its fees were USD 0.67 lower than Ethereum’s L1.

New development allows to use Ethereum with more privacy and lower cost
Aztek Network appears as the rollup with the highest rates to date. Source:

And what specifically are rollups? As mentioned before, these are second layer scalability solutions that “wrap” many transactions and bring them all together to L1. In this way, the user can take advantage of the security of the network by paying a lower commission than those of the main layer when entering the rollup.

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