EY, the multinational professional services network commonly known as Ernst & Young, announced that the company has provided a set of tools for the private management of transactions on the Ethereum network. Joanna Hardy, EY’s global media relations manager, explained Thursday how the company’s protocol is helping Ethereum’s transaction fees become more affordable and enables private ether transfer.
Professional Services Giant and Big Four EY Member Release Ethereum Nightfall 3 Protocol
EY is a well-known professional and financial services brand and the London-based company has been working with blockchain and cryptocurrency solutions for some time. Although EY is one of the largest professional services networks in the world, it is also a member of the Big Four of accounting firms.
On July 1, Hardy detailed in an EY blog post that the company published a set of tools that make ether transactions cheaper and more private. The protocol is called “Nightfall” and relies on zero-knowledge evidence and other technologies to help strengthen the tool’s transaction privacy and accessibility goals.
“EY today released a new set of tools for the private management of transactions on the Ethereum blockchain,” Hardy said Thursday. “The project, known as Nightfall 3, combines zero-knowledge evidence (ZK or ZKP) with a new transaction verification management model to increase efficiency and reduce transaction costs, known as of optimistic accumulation. The combined protocol is known as the ZK-Optimistic Rollup.
EY’s Global Head of Media Relations added:
Nightfall 3 groups ZKP transactions into groups, called rollups. These are known as “optimistic” rollups because the system assumes transactions are valid unless proven otherwise, and eliminates the process of asking all participants to verify all transactions.
Hardy further claims that the Nightfall 3 toolset with the help of ZK-Optimistic Rollups can make the cost of a single transaction “one-eighth of the cost to perform a conventional public ERC20 token transfer. “. “When developing a new ZKP protocol, developers need to be able to interact directly with low-level ZKP constructs,” said Dr. Duncan Westland, associate director and head of global blockchain research and development at EY.
If the user only needs private token transfers, the app may be handling ZKP interactions. In this case, provided the user is careful with how Layer 1 to Layer 2 transfers are performed, a ZKP transaction can be considered a conventional token exchange, albeit with increased confidentiality. Having an API that allows users to work this way can speed up development.
Nightfall 3 balances safety incentives with mathematical efficiency
Hardy’s EY announcement notes that Nightfall 3’s prototype code is available on Github and available in the public domain. EY has devoted a lot of energy to the growing crypto industry and in 2016 the company said blockchain was on the verge of reaching critical mass. The previous month, ET helped Australia auction 24,000 BTC and last year, in July, EY launched an app that helps U.S. crypto investors file their taxes. EY has also spent time on Ethereum and Nightfall 3 is “designed to reduce the learning curve required by developers.”
“Based on EY’s experience, ZK-Optimistic roll-ups are currently among the most effective in balancing security incentives and mathematical efficiency for executing private transactions on the Ethereum public network” , concluded Paul Brody, global blockchain leader at EY, in the blog post written by Hardy. . “As we have done in the past, we are bringing this code back to the public domain to accelerate the adoption of this technology by businesses,” added Brody.
What do you think of EY’s toolset that aims to make ether transactions cheaper and more private? Let us know what you think of this topic in the comments section below.
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