On Thursday, decentralized derivatives protocol Zeta Markets released the litepaper for Zeta X (ZX) — a Layer 2 solution on the Solana blockchain that will utilize zero-knowledge proofs.

ZX aims to enhance decentralized trading by providing CEX-like performance while maintaining on-chain operations, the project stated. It will employ a rollup framework using zero-knowledge proofs for secure on-chain settlement — claiming the capacity to handle up to 10,000 transactions per second.

The litepaper details that consensus and settlement processes will occur on the native Solana Layer 1, ensuring blocks are accessible for verification and dispute resolution by all nodes. The execution layer, however, will be managed by an off-chain matching engine that will be compatible with a 'zkVM' …