In the rapidly evolving world of Web3, two critical challenges have emerged: privacy and scalability. The immutable nature of blockchain raises concerns about data privacy for users and businesses, while the increasing popularity of Central Bank Digital Currencies (CBDCs) adds worries about surveillance.
At the same time, achieving scalability in blockchain networks has become vital to handle growing transaction volumes. Amidst these challenges, Zero-Knowledge (ZK) payments offer a promising solution that addresses both privacy and scalability concerns. This blog explores how ZK payments bridge the gap between confidentiality and transparency in Web3 transactions, providing users with the privacy they need without compromising the blockchain's fundamental features. Moreover, it delves into the potential of ZK-based protocols to enhance scalability, making decentralized applications more practical and accessible.