Vitalik Buterin's Support for ZKsync: Driving Institutional Embrace of Zero-Knowledge Scaling

The recent show of support for from co-founder Vitalik Buterin has made significant waves across the blockchain sector, marking a crucial turning point for zero-knowledge (ZK) scaling technologies. By describing ZKsync's Atlas upgrade as "underrated and valuable," Buterin has drawn attention to the platform's potential to reshape Ethereum's scalability and liquidity framework. This recognition, together with ZKsync's technical progress and growing institutional collaborations, strengthens the investment case for infrastructure in 2025 and the years ahead.

ZKsync's Atlas Upgrade: Technical Innovation Meets Institutional Momentum

Launched in 2025, ZKsync's Atlas upgrade has set a new standard for Layer-2 (L2) scalability, supporting over 15,000 transactions per second (TPS), achieving finality in just one second, and offering nearly zero transaction fees. More importantly, it enables chains built on ZKsync to tap directly into Ethereum's liquidity in real time, removing the barriers of fragmented liquidity pools and boosting cross-chain performance. This breakthrough is in line with Ethereum's broader commitment to ZK-powered scaling,

, who has consistently championed ZK technology as the future of blockchain scalability.

The effects of the upgrade are already visible in key market indicators. ZKsync's total value locked (TVL) climbed to $3.5 billion in the third quarter of 2025,

(down 70% after Atlas) and the ability to tokenize real-world assets (RWA). Major institutions have taken notice, with partnerships such as Deutsche Bank's cross-chain settlement project and Sony's Ethereum-based L2 initiatives in ZKsync's robust infrastructure for enterprises.

Institutional Growth and Tokenomics: A Positive Feedback Loop

The evolution of ZKsync's ZK token from a governance tool to an asset with real value capture has further fueled institutional engagement.

, led to a 50% increase in the ZK token's price. This transformation reflects a larger movement in enterprise blockchain, where token utility and scarcity are key drivers of adoption.

The platform's transaction statistics also highlight its enterprise appeal: by the fourth quarter of 2025, ZKsync had processed 1.2 billion transactions,

for organizations needing high throughput and strong security. The upcoming Fusaka upgrade, , is set to further reinforce ZKsync's leadership in the L2 space.

Market Outlook and Investment Potential

that the ZK Layer-2 sector will expand at a compound annual growth rate (CAGR) of 60.7%, reaching a market size of $90 billion by 2031. This surge is powered by Ethereum's "Lean Ethereum" approach, which for greater cost efficiency, along with the substantial savings ZK technology offers to institutions.

Investors should also consider the strategic partnerships between ZKsync and leading financial organizations.

of ZKsync for cross-chain settlements and the $15 billion inflow from ETFs into ZK-based platforms underscore ZKsync's role in connecting traditional finance with blockchain. These trends indicate that ZK infrastructure is a speculative asset—it is becoming a fundamental component in the future of decentralized finance.

Conclusion: ZK Infrastructure at a Critical Juncture

Vitalik Buterin's backing of ZKsync goes beyond mere celebrity endorsement—it affirms that ZK technology is ready for mainstream institutional use. With achievements like the Atlas and Fusaka upgrades, a $3.5 billion TVL, and a projected 60.7% CAGR, ZKsync stands out as a compelling investment prospect. For those looking to participate in the next chapter of Ethereum's scalability journey, ZK infrastructure has moved from the sidelines to the center of the blockchain transformation.