What is Zyfi? – Coinbold

As high gas fees on the Ethereum network continue to pose a significant challenge, Zyfi emerges as a revolutionary project in the decentralized finance (DeFi) space. Zyfi aims to address this issue by providing a flexible and ETH-agnostic solution for transaction fee payments. Let’s delve into Zyfi and how it works.

What is Zyfi?

Zyfi is a groundbreaking project that operates as a “Paymaster-as-a-Service” on zkSync, a layer-2 scaling solution for Ethereum. Zyfi enables users to pay transaction fees using any ERC-20 token they hold, eliminating the need to rely solely on Ethereum (ETH) for gas fees. This not only saves costs but also simplifies the management of diverse assets.

Zyfi’s Structure and Functionality

Paymaster-as-a-Service

Zyfi offers a Paymaster-as-a-Service that allows users to settle transaction fees with ERC-20 tokens instead of ETH. This process is facilitated on the zkSync platform, streamlining fee payments and eliminating the risk associated with holding ETH in a wallet.

Account Abstraction

Zyfi leverages zkSync’s account abstraction capabilities to decouple fee payments from the transaction itself. This enables user accounts to be treated as smart contracts, providing greater flexibility and allowing for custom fee payment logic.

Gas-less Transactions

Utilizing account abstraction and the paymaster API, Zyfi enables gas-less transactions for users. When a user initiates a transaction, Zyfi’s paymaster assesses the user’s ERC-20 token balance and handles the conversion of these tokens into ETH to cover gas fees, automating the fee management process.

Meta-Transactions

Zyfi employs meta-transactions, where a transaction is signed by the user and sent by a third party (paymaster) who covers the gas fees. This setup allows users to interact with decentralized applications (DApps) without holding ETH, as the paymaster contract ensures that gas fees are settled.

Off-chain Logic and Signature Verification

Zyfi executes off-chain logic to verify transaction conditions and user signatures before submitting the transaction to the blockchain. This approach guarantees that only valid transactions meeting predefined conditions (e.g., sufficient ERC-20 balance, user eligibility) are processed, enhancing security and efficiency.

Custom Paymaster Logic

Zyfi empowers developers to customize paymaster logic to meet specific requirements, such as implementing address whitelisting or creating contract sponsorship programs for specific events or promotions. This flexibility allows DApps to tailor their gas fee management strategies based on their user base and business models.

Zyfi team

Gauthier: As CEO, Gauthier spearheads Zyfi’s overall vision and strategy. With his deep understanding of the blockchain landscape, he guides the company towards its ambitious goals.

Giovanni: As CTO, Giovanni oversees the technical development of Zyfi’s products and platforms. His expertise in blockchain technology ensures that our solutions are cutting-edge and secure.

Roman: Our full-stack engineer, Roman, is instrumental in building and maintaining our robust technological infrastructure. His versatility allows him to seamlessly integrate various components of our platform.

Sasha and Antoine, our product strategists and business development experts, are dedicated to bringing Zyfi’s innovative solutions to market. Their combined skills in product management and business development drive growth and adoption.

Investor

The investor list of Zyfi is not only impressive in terms of quantity but also reflects a careful selection process. The decision of renowned funds like AngelDAO, Caballeros Capital, and White Loop Capital,… along with influential individuals like Julien Bouteloup, to invest in Zyfi shows that the project has passed a rigorous screening process. Their participation is not only based on Zyfi’s growth potential but also because the project meets the strict investment criteria of these funds, especially in terms of the viability of the business model, the development team, and the potential for real-world applications.

Conclusion

In summary, Zyfi is a pioneering project revolutionizing the DeFi landscape by providing a seamless, efficient, and user-friendly solution for transaction fee payments through its Paymaster-as-a-Service model, harnessing the power of zkSync’s account abstraction technology. With its advanced features and high degree of customization, Zyfi is poised to play a pivotal role in enhancing user experience and reducing transaction costs on the Ethereum network.