Halo 2 is an improved version of the zero-knowledge proof protocol already in use on the ZCash network. The Ethereum Foundation also took part in the development.
Electric Coin Company, behind the development of the ZCash cryptocurrency, has unveiled a new version of the Halo zero-knowledge proof protocol. The second version of the protocol uses PLONK, the Aztec Protocol’s novel zk-SNARK, which allows you to “express more complex circuits in fewer gates.”
A zero-knowledge proof protocol allows the verifier to assess the validity of a mathematical statement without having any other information from the other verifier. Thanks to this property, network participants can hide the details of transactions.
Halo 2, as a more advanced version of the protocol, after its implementation will significantly speed up transactions, allowing you to compress the amount of computation. The updated protocol will also allow the creation of “controlled distributed systems” and “scalable blockchains” without the need for trusted configuration. Recall that the trusted setup system assumes that 6 people must take part in setting up the network.
ECC writes that Halo 2 was developed in cooperation with the Ethereum Foundation. The interest of the latter in the protocol is quite understandable: the technology is considered as a possible option for scaling the Ethereum network.
ECC also introduced a new version of the ZCash node client. Version 4.0.0 contains a number of important ZCash (ZIP) development projects and prepares the network for the Canopy update, which at the current hashrate will occur on November 18 at a block height 1046400.