Immutable X: Ethereum L2 for NFTs
Immutable X
is a Layer 2 protocol for non-fungible tokens (NFTs), providing token minting and peer-to-peer trading with no gas fees, scalability of up to 9000 transactions per second, immediate confirmation of trades, while ‘piggybacking’ on the most prevalent and widely supported blockchain for NFTs: Ethereum.
Immutable X is a true L2 deriving its security from the L1 mainnet, rather than a less secure centralized sidechain, which make prime targets for 51% attacks. All transaction validity is fulfilled by Ethereum utilizing zero-knowledge proofs.
zk-proofs
Zero knowledge proofs help address problems with blockchain ecosystem scalability, while maintaining privacy. Essentially a zk-proof specifies a system in which a statement can be proven to be true, without the need to disclose additional content present in the statement. For example, a group of off-chain trades get bundled together and proved valid via owner signature. This proof is written to the main chain, where it is then validated by smart contract.
“The Ethereum ecosystem is likely to be all-in on rollups as a scaling strategy for the near and mid-term future”.
Vitalik Buterin
Zk-Rollups are the amalgamation of off-chain transactions, through the use of Merkle Trees, writing them to the Ethereum blockchain in a single transaction. This is a highly efficient process which uses the Ethereum mainnet solely for data storage, rather than expensive computation. The ‘heavy lifting’ is done off of the main network.
Transaction fees
Although Ethereum bestows a vibrant ecosystem, minting /exchanging assets on the Ethereum mainnet is a costly ordeal, with gas fees sometimes exceeding the value of the tokens. (Not unlike withdrawing $20 from an ATM and being hit with a $50 service charge for the privilege.)
With Immutable X’s bundling off-chain, trades are amalgamated on the mainnet at a fixed gas cost, which Immutable X covers.
REST API
Rather than having to develop and deploy smart contracts on the Ethereum mainnet, Immutable X provides NFT creators with an interface that requires a less onerous learning curve via a REST API. All functionality necessary to interact with the blockchain can be accessed through the REST API. This allows creators to spend their time creating, instead of becoming proficient at smart contract development.
Partnerships
Immutable X recently announced integrations with major NFT marketplaces OpenSea and Mintable, and is powering the conversion of massive content collections into NFTs, by creators like Disney, Marvel and Tiktok, amongst others.
Ethereum has massive network effects as the current leading blockchain for smart contract development. The future looks bright for Immutable X as it improves the Ethereum ecosystem for NFT project development and transacting.