The recent Atlas upgrade by ZKsync has sparked significant momentum in the ZK and Layer-2 (L2) token markets, with the ZK token soaring more than 88% within a day and other L2 tokens such as I , ALT, and STRK posting increases of up to 43%, based on on-chain data . Developed by Matter Labs, this upgrade brings a major transformation to Ethereum’s liquidity framework, allowing L2 networks to tap directly into Ethereum’s capital in real time. The move has earned recognition from Ethereum co-founder Vitalik Buterin, who described ZKsync’s impact on the ecosystem as “undervalued and important,” according to a Coinfomania article
, highlighting growing institutional and developer interest in zero-knowledge (ZK) scaling technologies. Atlas, which has just launched, is capable of processing over 15,000 transactions per second (TPS), achieves finality in one second, and offers nearly zero transaction fees, as detailed in a CryptoTimes report . Yet, its most significant contribution is redefining Ethereum’s function as a liquidity center. Previously, each L2 network—like Arbitrum , Base, or ZKsync Era—managed its own liquidity, resulting in inefficiencies and redundancy. With Atlas, L2s can now access Ethereum’s liquidity directly, cutting down on delays between layers and removing the need for intermediaries, according to CryptoTimes. This advancement enables institutions to transfer assets smoothly between Ethereum and L2s, aligning with on-chain settlement protocols essential for real-world assets (RWAs) and institutional participation, as reported by CryptoFront News
The upgrade also boosts Ethereum’s interoperability, making it possible for L2-to-L2 transactions to settle in about one second and for L1-to-L2 transfers to complete faster than Ethereum’s own block time, as covered by Coinfomania. Developer den0 (zk/acc) emphasized that this update brings “real-time institutional settlement standards to L2,” lowering slippage, fees, and user complexity, according to CryptoTimes. For businesses, Atlas opens the door to custom networks for DeFi, payments, or gaming, all while staying compliant with regulations, as highlighted in the same CryptoTimes report. The market has responded quickly. The ZK token, currently trading at $0.034426, has climbed 17.71% in the past 24 hours, fueled by Buterin’s endorsement and the technical achievements of the upgrade, according to on-chain data. Buterin’s public support—shared in several posts—has increased confidence in ZKsync’s future plans, which include a governance token (ZK) airdrop to further decentralize the network, as noted by CryptoFront News. Analyst Kyledoops suggested that Atlas could propel ZKsync into the top ranks of L2s, positioning Ethereum as the “capital center” for institutional capital, as mentioned in a Coinotag report
Institutional interest is already on the rise. A month before the Atlas launch, GRVT raised $19 million in Series A funding to develop a hybrid decentralized exchange on ZKsync’s Layer-2, with support from Further Ventures and the ZKsync team, according to CryptoTimes. Partners such as EigenCloud and Abu Dhabi’s sovereign wealth fund are also increasing their involvement, demonstrating trust in ZKsync’s readiness for enterprise use. Although there are still hurdles to overcome—such as security reviews and long-term performance assessments—the Atlas upgrade represents a major milestone in Ethereum’s development. By transforming the blockchain into a unified liquidity platform, ZKsync is tackling scalability challenges while maintaining decentralization and security. As Buterin remarked, the project’s efforts “reinforce Ethereum’s foundation for institutional applications,” a sentiment reported by Coinfomania and now gaining widespread attention in the community.