How Polygon zkEVM and API3 are Revolutionizing DeFi

Polygon zkEVM, a network that supports zero-knowledge proofs, has seen its total value locked (TVL) grow by more than $46 million since its launch in March. The network will soon offer a managed data feed service powered by API3, a blockchain oracle provider. 

This service will enable developers on Polygon zkEVM to access reliable and aggregated data from multiple sources on-chain. API3 has been working with Polygon zkEVM since April, providing first-party Oracle services to the network. The new data feed service aims to support the network’s TVL growth and innovation.

The API3 Market will soon launch a new service that will allow developers to use managed dAPIs, which are data feeds that combine data from multiple sources and are delivered by first-party Oracle nodes on the native chain.

This service will benefit the DeFi economy, which relies on real-time market data from oracles for its core functions, such as lending protocols and perpetual DEXs. 

However, many DeFi apps still use expensive and insecure push-type oracles. API3’s solution, based on first-party architecture, aims to solve these problems by making it easier for DeFi protocols to migrate from other chains to Polygon zkEVM, a network that supports zero-knowledge proofs.

Polygon zkEVM aims to attract and scale more users by introducing a new system that will address the limitations of existing Oracle options.

Crypto Community Responded Positively to the News

The new system is powered by API3, a blockchain oracle provider that offers push oracles. Push oracles are essential for DeFi apps such as Aave, Compound, and various DEXs. However, API3’s push oracles are different from others because they align with the incentives of data providers, networks, and dApps.

Polygon zkEVM, a network that enables zero-knowledge proofs, launched in March and has been growing steadily. According to L2Beat, its TVL reached over $46 million in five months, with a peak of $56 million.

The network also recorded a high level of on-chain activity, with more than 400,000 addresses participating. The mainnet deposits exceeded $110 million, showing the network’s popularity and potential.