- 1 Taiko raised $10 Million in the first funding round held on September 1st 2022 and $12 Million in the second funding round on June 8th 2023.
- 2 The funding is used to develop decentralized Ethereum equivalent zkEVM.
Vitalik Buterin, the creator of Ethereum has encouraged other cryptocurrency firms like Taiko to create Ethereum equivalent Type-1 zkEVM. The funding rounds are led by Sequoia China and Generative Ventures.Taiko raised $22 Million in two funding rounds to build decentralized Type-1 zkEVM. The firm aims to scale the Ethereum blockchain.
The two funding rounds have participation from GGV Capital, BAI Capital, GRS Markets, Mirana Ventures, Kucoin Ventures, OKX Ventures, Token Bay Capital, Skyland Ventures, Yunki Partners, and also some other investors.
Design of zkEVM is Same as EVM
The founding team of Taiko comprises Matthew Finestone, Daniel Wang, Brecht Devos , and Terence Lam. Matthew Finestone, co-founder of Taiko Labs stated that the design of zk-EVM is similar to EVM spec and they want to extend it.
Wang who was founder and CEO of Loopering Foundation from July 2017 to November 2021 said that after Loopering he wanted to build the decentralized social network but was unable to do so as he ran out of infrastructure. As there is no other way left to scale it, the idea of Taiko was born.
He also stated that they are still far away from being ready to change everybody’s life but they want to build the technology that will improve the quality of life for everyone around the world. The first two rounds of funding will secure the mainnet but later the project will raise more funds for developing the ecosystem to build dApps.
Wang also said that they will soon structure the project as the Vitalik Buterin Ethereum foundation. They will quickly convert the organization into a non-profitable one.
zkEVM Projects Also Announced By Other Firms
There are many zkEVM projects making announcements recently like Polygon, zkSync, Scroll, Matter Labs etc. The main aim of all the projects is to utilize the zk-SNARK technology. It is used to make cryptographic proof of execution of Ethereum-like transactions.
The advantages linked with Type 1 zkEVM is that it can verify an environment that looks like Ethereum. It can scale the Ethereum L1 and not just rollups. It is easy for rollups to share the infrastructure. It is basically what is needed to build the Vitalik Buterin Ethereum layer 1.
At present, type 1 zkEVM is designed to duplicate the Ethereum so it will lack the same deficiencies. The disadvantage is that the proof of Ethereum takes a long time to generate. This can only be changed by clever engineering or by zkSNARK ASICs.
Hence, scaling the decentralized protocol to handle the growth is the aim of many other crypto firms like Polygon Labs, Taiko, and others. Type 1 zkEVM by Tailko is intended to build for cheaper transactions that Vitalik Buterin Ethereum’s mainnet can handle.