Zero Knowledge Proofs
In today’s post, we are going to dive deep into the fascinating world of Zero Knowledge Proofs (ZKPs). We will start with the basic concepts and gradually move towards more complex ideas. By the end of this post, you will have a solid understanding of ZKPs, ZK-SNARKs, and ZK-STARKs, and how they are revolutionizing the blockchain space.
What are Zero Knowledge Proofs?
At the core, the goal of Zero Knowledge Proofs or ZK proofs is to prove the validity of a statement without revealing the statement itself. This process involves two key parties:
- Prover: The party trying to prove the validity of a statement.
- Verifier: The party that checks if the statement is true.
Example: Where's Waldo?
To understand this better, let's consider the children's game, Where's Waldo? It's an illustrated book series where the reader must find "Waldo", a character dressed in striped clothes, amongst masses of other characters in a large scene.
Normally, if I find Waldo, I would just point to him on the page, proving I know where he is. And you, the verifier, could verify my proof by seeing that. However, this leaks information because you now know where Waldo is.
Zero Knowledge Proof: Imagine I want to convince you I know where Waldo is without showing you his location. I could place a large piece of paper over the book and cut a small hole in the paper to reveal only Waldo, hiding the context. This proves I know where Waldo is without revealing his exact location.
This is what makes it a zero-knowledge proof because it leaks no information to the verifier.
Why Do We Need ZK-SNARKs and ZK-STARKs?
In a broad sense, there are two categories of zero knowledge proofs: interactive and non-interactive.
Interactive Proofs
Interactive proofs involve multiple back-and-forth communications between the prover and the verifier. This method requires the verifier to challenge the prover several times, and each time, the prover must respond appropriately. While this method ensures a high level of certainty, it is not efficient for many applications, especially in blockchain, where transparency and efficiency are paramount.
Non-Interactive Proofs
Non-interactive proofs, on the other hand, require only a single round of communication from prover to verifier. This makes them much more efficient and suitable for use in decentralized systems like blockchains. Non-interactive proofs maintain the integrity of the information without the need for multiple interactions.
What are ZK-SNARKs?
The acronym ZK-SNARK stands for Zero Knowledge Succinct Non-Interactive Argument of Knowledge. Let's break down each part:
- Zero Knowledge: No information about the actual statement is revealed.
- Succinct: The proofs are small and easy to verify.
- Non-Interactive: No back-and-forth communication is needed between the prover and verifier.
- Argument of Knowledge: The prover must actually know the thing being claimed.
Properties of ZK-SNARKs
All ZK-SNARKs have these properties:
- They don't leak information.
- They are tiny and easy to verify.
- They don't require back-and-forth communication.
- They are proofs of knowledge.
Real-World Use Case: Identity Verification
Imagine you need to prove your age to access a service without revealing your birth date or any other personal information. With ZK-SNARKs, you could provide a proof that you are of legal age without sharing your actual date of birth.
What are ZK-STARKs?
The acronym ZK-STARK stands for Zero Knowledge Scalable Transparent Argument of Knowledge. Here's how it differs from ZK-SNARKs:
- Scalable: They handle larger data efficiently.
- Transparent: They do not require a trusted setup.
- Argument of Knowledge: Similar to SNARKs, the prover must know the statement being proven.
Advantages of ZK-STARKs
- No Trusted Setup: Unlike ZK-SNARKs, ZK-STARKs do not require an initial setup phase.
- Quantum-Resistant: They are designed to be secure against quantum computer attacks.
Real-World Use Case: Supply Chain Transparency
In a complex supply chain, it is crucial to verify the authenticity and provenance of goods without revealing sensitive business information. With ZK-STARKs, a company can prove that a product has passed through a series of verifiable steps (like quality checks and compliance) without revealing details about each step or the parties involved. This ensures transparency and trust in the supply chain without compromising privacy.
How ZK Proofs are Revolutionizing Blockchain
Zero Knowledge Proofs are powering the latest waves of innovation in the blockchain space by enabling privacy and scalability.
Key Benefits
- Privacy: ZK proofs ensure that sensitive information is not leaked while still proving the necessary facts.
- Scalability: They enable blockchains to process more transactions efficiently without increasing the size of the data that needs to be verified.
Example in Blockchain
In a blockchain, it's crucial to verify the validity of transactions without exposing all transaction details. Here’s how ZK proofs are applied in blockchain:
- Transaction Privacy: Users can prove they have sufficient funds and that a transaction is legitimate without revealing the transaction details. This is essential for maintaining user privacy.
- Smart Contracts: ZK proofs can be used to verify the execution of smart contracts without revealing the contract details or the data involved. This allows for confidential transactions and computations on the blockchain.
- Scaling Solutions: By using ZK proofs, blockchains can bundle multiple transactions into a single proof, significantly reducing the amount of data that needs to be stored and processed. This enhances the scalability of the blockchain.
Conclusion
Zero Knowledge Proofs are a groundbreaking technology that provides privacy and efficiency in various applications, especially in blockchain. Understanding ZK-SNARKs and ZK-STARKs helps us appreciate their role in making systems more secure and scalable.