Group 38

Scalable payments. Decentralised by design, open for everyone.

Hermez is an open-source ZK-Rollup optimised for secure, low-cost and usable token transfers on the wings of Ethereum.

Quick overview of how Hermez works

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.

Decentralised and open-source architecture.

Computational integrity for secure transactions.

Hermez Network

More than 90% transfer cost reduction

By using zero-knowledge technology, transfer costs are significantly reduced, allowing more accessible financial services for mainstream adoption.

L1 Ethereum

L2 Hermez

Layer 2 scalability solution

Computational integrity and on-chain data availability are guaranteed by zero-knowledge proof technology while preserving the public blockchain properties of Ethereum.

Results

Over 133x throughput improvement

Over 90% reduction in token transfer costs

Secure and fast withdrawals

People powered payments

Hermez's 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.

Development goals

Designed for collaborative economy

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. We call this mechanism Proof-of-Donation.

More about proof-of-donation

Permissionless auctions for validators

Anyone can bid in a decentralised auction to create the next batch on Hermez Network. Each successful validation is rewarded with the collected transaction fees.

More about network coordinators

HEZ Token

The Hermez token (HEZ) acts as the vehicle for bidding in the auction to award exploitation rights to slots of the Hermez Network to the highest bidders.

More about HEZ

Future of payments

Zero-knowledge cryptography

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.

Universal scalability with validity proofs

The consensus of status between Ethereum and Hermez 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 Hermez network is implemented on Ethereum, and so any permissionless node can be deployed and synchronized from it.

Hermez Network White Paper

Technical Documentation

Github Repository

Technology