Linea ecosystem: zkEVM technology from Consensys

As one of the important product pieces of Consensys (the company behind Metamask), Linea has many advantages and is quickly becoming the leading L2 blockchain currently.

Outstanding features of the Linea ecosystem

zkEVM technology

Initially the project was named Consensys zkEVM and then changed to Linea. As the name suggests, Linea uses zero-knowledge proof technology (ZK Rollup), expanding the Ethereum network by processing off-chain transactions.

Transactions, after being aggregated, will be sent in batches along with a zero-knowledge proof called Validity Proof. ZK Rollup solutions are considered more optimal than Optimistic Rollup as there is no withdrawal delay period. However, these projects have more difficulty being compatible with EVM.

Linea competes with a number of other projects that have researched and overcome this drawback with the zkEVM version, allowing applications on Ethereum to operate smoothly on this Rollup environment. Linea's solution belongs to type 2 (Type 2 zkEVM).

Accordingly, Linea zkEVM will have suitable compatibility with most applications on Ethereum, but the performance will be slightly worse because it takes more time to generate proof of authenticity.

Developed by Consensys

Linea is one of the puzzle pieces in the products of the Consensys team. Consensys is one of the companies with the greatest potential in the market at the present time, this is also the company behind famous products such as MetaMask, Infura, Truffle...

Since its launch, Linea has been supported in a full ecosystem of tools and support products from parent company Consensys.

The ecosystem grows thanks to Point

Consensys has raised a total of 725 million USD, but the products in Consensys's ecosystem have never performed airdrops or issued tokens, so users expect Linea to be Consensys's first token-producing product.

From the project side, Linea also proactively launched the Linea Park program that allows users to accumulate points, earn NFTs, and experience the ecosystem. The program lasts 6 weeks, each week covers a topic:

·      Week 1: RPG and MMO game topics

·      Week 2: NFTs

·      Week 3: Games and Social

·      Week 4: Games from Eastern countries

·      Week 5: Mini Game Gala

·      Week 6: Grand Finale, project group synthesis

Linea Park event map

In addition to Linea Park, the project also actively integrates with multi-chain projects so that these projects expand their products to Linea, then incentivize users with the x2 point strategy for activities on Linea. Projects such as Renzo Protocol, Syncswap, Zero Lend... have played an important role in promoting TVL growth for Linea.

How Linea attracts developers and users

Upgraded blob transactions

To optimize costs for storing and sending data, on March 27, Linea also upgraded the network using blob transactions after upgrading Dencun. Currently, Linea's data costs have decreased by -97.20% compared to before Dencun. This helps transaction fees on Linea decrease sharply from the time of deployment.

 Linea Surge is a program that incentivizes liquidity, attracts TVL, and promotes the development of DeFi projects on Linea. Users participate in liquidity lock on Linea dApps to receive LXP-L points. The program is expected to launch in April but has not officially started yet.

DeFi projects that received points include:

DEX

·      DeFi Lending Platforms

·      Decentralized Trading Platforms

·      Bridge Pools

·      Other segments

·      Types of assets that are scored

Native (ETH)

·      Stablecoins

·      LST (Liquid Staking Tokens)

·      LRT (Liquid Restaking Tokens)

·      RWA (Real World Assets)

Other assets

The proportion of projects and assets receiving bonus points corresponds to the following figure. Transactions with DEX, Lending, Bridge with ETH and LRTs will have a higher score weight than the rest.

Linea Park Week 6

Linea Park week 6 with the combination of many projects from NFT to Gaming, Social, marked the end of this program. Over 6 weeks with 6 topics, Linea has tried to introduce new projects to users, this strategy has also contributed to increasing the number of transactions on this L2 blockchain.

Linea Park's impact on the number of transactions on the Linea network.

Linea Builder Launchpad

Linea Builder Launchpad is a gateway that helps programmers quickly access what's going on in the ecosystem. Developers with building ideas will be supported by their predecessors by participating in the Linea Builders Club, promoting products through the Linea Dev Cook-Off Hackathon.

The program will only start from April 19, 2024.

Panorama of the Linea ecosystem

Based on scoring programs, Linea focuses mainly on two project groups: DeFi and Game/NFT. The flow of funds bridged from Ethereum also shows the level of user interest. In the new L2s (active in the past 1 year), Linea has the same level of attraction as Mantle and a little less than zkSync Era and Base.

DeFi

Linea's DeFi ecosystem only really develops with the appearance of multi-chain projects, native projects on Linea receive less attention. Projects like Mendi Finance (Lending), Lynex (DEX), etc., although they appeared first, are more disadvantaged than multi-chain projects at the present time.

After two prominent projects, Renzo Protocol and Zero Lend, were deployed on this network, TVL on Linea saw significant growth. Renzo is the first Liquid Restaking trend project deployed on L2s, and is also the project that received the most attention after Etherfi launched the token.

Meanwhile, ZeroLend is a Lending project that allows the use of LRT types as collateral. Users who deposit Renzo's ezETH will receive a bonus of x2 EZ Points and can implement leverage strategies. This combination has attracted an amount of money pursuing the Restaking trend to Linea.

After achieving the above success, ZeroLend launched the ZERO token with administrative functions operating on the Linea network. Competing with ZeroLend is Mendi Finance, a project that only operates on Linea and is a fork version of Compound V2.

Regarding the DEX segment, prominent multi-chain projects such as Syncswap, iZiSwap, PancakeSwap, Uniswap V3... are also actively expanding to Linea. However, no project has really broken through, and is even weaker in terms of TVL and transaction volume compared to native projects such as Lynex and Nile Exchange.

When the Linea The Surge program officially launches, DEX and Lending projects will continue to be the focus with the highest reward rate.

Games/NFTs

Games and NFTs combined with Social elements are one of Linea's focus areas as the project spent 6 weeks promoting communication for these projects. According to statistics from DappRadar, the projects with the most players are:

·      Ultiverse: Web3 game publishing platform combined with AI, project with investment from Sequoia, Binance Labs...

·      Yooldo: GameFi project development platform, with investment from Consensys, Linea, Aptos, Mantle...

·      Arena Games Platform: Platform that provides an SDK toolkit to help convert traditional games to blockchain.

In addition, some notable projects appearing in Linea Park include:

·      Enders Gate: NFT card game inspired by Yu-gi-oh.

·      Satoshi Universe: A sci-fi world game based on a comic storyline.

·      Gamic: Tool to support communication in Web3 games, with investment from Binance Labs.

·      SocialScan: Using AI to discover information about social networks and on-chain information.

·      BitAvatar: Creating identities using NFTs and AI.

·      Galaxia Studios: Studio specializes in producing fully on-chain games

·      Omnizone: A fully-onchain game in the survival battle genre, appearing on both Ancient8 and Kardia Chain.

·      AlienSwap, Element, Bilinear: NFT Marketplace

Besides the development of game projects, Linea also has a meme token department. These tokens currently have a higher capitalization than DeFi projects.

summary

Linea's combination of technology development and user scoring programs brings growth in both TVL and network parameters. Users expect Linea to become the first product to issue tokens in the product ecosystem of giant Consensys.