The main idea is to add a point function to the base layer of Zcash: built-in verification of STARK proofs through the Transparent Zcash Extension (TZE) mechanism.
This function takes bytes (STARK proof + public inputs) and provides confirmation within the consensus.
If the proof is correct, L1 accepts the state update while preserving all confidentiality and accounting rules for ZEC.
This update allows scaling and programmability to be taken to L2 without affecting the existing privacy architecture of Zcash.
Payments, stablecoins, derivatives, and applications will be able to operate on L2 — fast and cheap, while calculations and value storage remain on L1.
What is changing:
• One type of TZE is added — STARK_VERIFY_V1, which verifies limited STARK proofs with fixed parameters.
• Verification does not create ZEC and does not affect emission rules.
• The size of the proof and computational complexity are limited to protect against DoS attacks.
How Ztarknet Works:
• Users send L2 transactions to a sequencer compatible with Starknet.
• The sequencer executes Cairo programs, updates the state root, and creates an execution trace.
• The prover constructs a STARK proof of the correctness of the transition root_old → root_new.
• Then a transaction with this proof is published on L1. Zcash nodes verify it through TZE.
Security:
• No additional coin issuance.
• Verification is isolated and subject to strict limits.
• In the event of a failure or upgrade, the base layer of Zcash is unaffected.
Economy:
• Fees for publishing L2 blocks are paid in ZEC.
• Gas can also be done in ZEC on L2.
• ZEC locked on L1 is reflected 1:1 on L2.
Ztarknet can make Zcash scalable without changing its essence. One minimal auditable port — and all complex logic moves to an external layer, while L1 remains a reliable private foundation.
The CEO of StarkWare also stated that privacy features will soon be added to Starknet.
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