What Is Hermez Network (HEZ)?
Polygon Hermez Network is an open-source ZK-Roll up optimised for secure, low-cost and usable token transfers on the wings of Ethereum. Polygon Hermez seamlessly integrates into the fabric of the Ethereum ecosystem and enables low-cost token transfers for an inclusive economy. Cost-efficient token transfers and swaps with high throughput. Polygon Hermez zk-rollup is a layer 2 construction on top of Ethereum that solves its scalability through mass transfer processing rolled into a single transaction.
The “zero-knowledge proof” (ZK) technology is used to present and publicly record the validity and correctness of the rolled transfers processed on the Ethereum blockchain. By storing just the proof and the compressed data of a batch of transfers, the efficiency and the throughput of the network is multiplied.
Hermez Network Storage Key Points
|Coin Name||Hermez Network|
|Circulating Supply||4,700,000.00 HEZ|
|Source Code||Click Here To View Source Code|
|Explorers||Click Here To View Explorers|
|Twitter Page||Click Here To Visit Twitter Group|
|Whitepaper||Click Here To View|
|Official Project Website||Click Here To Visit Project Website|
More than 90% transfer cost reduction
By using zero-knowledge technology, transfer costs are significantly reduced, allowing more accessible financial services for mainstream adoption. The consensus of status between Ethereum and Polygon Hermez Network is leveraging on zk-SNARKs validity proofs. Since validity is enforced by the zero-knowledge circuits, the L2 network status and the transactions can be considered as valid instantly once the corresponding block containing the proof is mined in L1.
All the data availability required to reconstruct the full state of Polygon Network is implemented on Ethereum, and so any permissionless node can be deployed and synchronized from it.
Computational integrity and on-chain data availability are guaranteed by zero-knowledge proof technology while preserving the public blockchain properties of Ethereum. The resulting network provides market-based resistance to Sybil attacks, addressing a range of problems with existing mixnets and privacy-centric services. This resistance is based on supply and demand interactions which help prevent single actors from having a large enough stake in Loki to have a significant negative impact on the second-layer privacy services Loki provides.
People powered payments
Polygon Hermez Network mission is to create an inclusive, resilient and highly efficient payment network for the next generation of digital currencies to ensure everyone has the freedom to transact. To achieve this economic protection, Loki encourages the active suppression of the circulating supply. In particular, the emissions curve and collateral requirements must be designed to ensure enough circulating supply is locked and reasonable returns are provided for operators to ensure Sybil attack resistance.
Polygon Hermez is giving back
Block creators are selected through a burn auction, however rather than burning tokens, 40% of the winning bid is returned as a donation to be reinvested in Ethereum public goods through Gitcoin quadratic funding grants. Hermez Network call this mechanism Proof-of-Donation. Service Nodes must prove to the network that they are holding the required collateral. Privacy features inherent in Loki’s design make this difficult, specifically the inability to audit public address balances or to use view keys to see outgoing transactions.
Permission less auctions for validators
Anyone can bid in a decentralised auction to create the next batch on Polygon Hermez Network. Each successful validation is rewarded with the collected transaction fees. Distribution of block rewards in Loki is conducted through proof-of-work, a robust and well studied system for the creation of blocks and the ordering of transactions.
After Hermez Network merged with Polygon, the HEZ token has been indexed to MATIC token. Polygon’s native token MATIC will become the utility token of the Polygon zkRollup. Miners collect and write transactions into blocks and collect fees for doing so. As a consensus rule in Loki, each block contains multiple reward outputs of which only one goes to the miner.