The crypto exchange OKX has announced the launch of a testnet for an upcoming Ethereum layer-2 network called “X1,” set to become a part of the Polygon ecosystem.
Utilizing zero-knowledge proofs, X1 aims to bridge assets from Ethereum, as revealed in a November 14 announcement.
Key Features of X1 Testnet
Developed with the Polygon chain development kit (CDK), X1 will utilize zero-knowledge proofs to validate deposits and withdrawals between layers. OKX, ranked as the sixth-largest centralized crypto exchange by volume with a daily trading volume exceeding $1.8 billion, plans to leverage its native token, OKB, which currently boasts a market cap exceeding $3.6 billion, within the new network.
OKB’s Role and X1’s Integration with Polygon Ecosystem
Upon the mainnet launch of X1, OKB will serve as the native coin for gas fee payments within the network.
Additionally, by utilizing the Polygon CDK, X1 potentially integrates into the broader Polygon ecosystem, including networks like Polygon zero-knowledge Ethereum Virtual Machine, Polygon PoS, Near, Manta Pacific, among others.
OKX’s Commitment and Vision for X1 Testnet
OKX is also set to be a significant contributor to the Polygon CDK software and has expressed intentions to invest substantial engineering resources for Ethereum scaling solutions. Jason Lau, OKX’s chief innovation officer, emphasized X1’s role in onboarding users to Web3 –
X1 will be a key pillar of our efforts to educate and bring our users on-chain and into the world of Web3. This scalable and accessible network is perfect for developers who can build on X1 to deliver user-friendly world-class consumer Web3 applications, all while maintaining interoperability with other networks and ecosystems.
Exchange-Created Networks in the Crypto Sphere
Apart from X1, OKX had previously introduced OKT Chain, an Ethereum sidechain using OKB as its native coin.
Moreover, exchanges like Binance,also initiated launch of BNB Chain in 2019, and Coinbase revealed layer-2 “Base” network on August 9, further illustrating the trend of exchanges developing their networks.
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