Ethereum Layer 2 Solution Hermez Network Launches

by in Blockchain News

Hermez network launch

Layer 2 scaling solution for Ethereum environment, Hermez Network which offers cost-effective activities, went live on the Ethereum mainnet at 9:30 AM UTC.

Related: The Amount of Ethereum Locked in DeFi Reaches New Highs

Now the medium gas fee for a transaction on Ethereum is about $16. Hermez's work suggests 90% savings, so the cost will be reduced to $1.5.

The system uses Zero-knowledge Rollups for scalability. Due to this technology, it becomes possible to reduce data storage, thus increasing the speed of operations and reducing gas fees. It is reached by the implementation of mathematical proofs to approve and complete transactions.

Earlier, Ethereum cofounder Vitalik Buterin said the "Rollup Solution" will be part of a large-scale plan of the developers to reduce the load on the network to prevent another jump in fees. Hermez will originally support five tokens: Ether (ETH), Wrapped BTC (WBTC), Tether (USDT), Dai, and HEZ, Hermez’s token. More assets will be integrated in the following months.

In a published blog post, the Hermez team informs that although the network's functionality was tested, audited, and reviewed on the Rinkeby network, there may be some bugs while running on the Ethereum blockchain. So, users willing to operate with the mainnet should take into account that it is still in the early version.