ZK-Technology Price Boom Expected in Late 2025: Ethereum's Zero-Knowledge Scaling Transforms Its Value Model

Ethereum’s protocol enhancements for 2024–2025 have made zero-knowledge (ZK) scaling technologies central to its future value. By overcoming computational limitations and meeting the needs of institutions, Ethereum is not only boosting its scalability but also drawing investment from traditional finance and corporate sectors. This blend of technical progress and growing adoption has sparked a rally in ZK infrastructure, presenting an attractive investment prospect.

Protocol Upgrades: Overcoming ZK’s Computational Hurdles

Ethereum’s modexp precompile—a longstanding tool for cryptographic tasks—has historically limited the performance of ZK-rollups. As noted in a

, Vitalik Buterin suggested replacing this precompile with standard EVM bytecode, potentially slashing ZK-proof generation expenses by as much as 50 times. This update streamlines cryptographic processes for ZK-EVMs, significantly reducing gas fees that previously made ZK-rollups less appealing.

The results are already evident. Lighter, a ZK-powered

2 protocol, reached unprecedented transaction speeds of 24,192 TPS in late 2025, surpassing even Ethereum’s own layer 2 solutions. These breakthroughs reinforce Ethereum’s vision of serving as a “global computing and settlement layer,” as emphasized in a
.

Institutional Adoption: RWAs, Stablecoins, and Enterprise Applications

Ethereum’s uptake among institutions accelerated in 2025, fueled by its leadership in tokenized real-world assets (RWAs) and stablecoin platforms. By early 2025,

managed $5 billion in tokenized RWAs across 60,000 active wallets, accounting for half of the market, according to a
. Deutsche Bank and Sony have both introduced Ethereum-based layer 2 solutions to address regulatory and performance requirements, marking a shift towards blockchain as a foundation for traditional finance, as highlighted in the same
.

Stablecoins further reinforce Ethereum’s significance. The network processes $67 billion in

and $35 billion in , based on the
, utilizing ZK-rollups such as and to ensure privacy and regulatory compliance. These rollups now execute 83% of enterprise smart contracts, as reported in the
, meeting institutional expectations for transparency and scalability.

On-Chain Metrics: ZK-Rollups Driving Network Activity

Blockchain data highlights the increasing importance of ZK-rollups. In Q3 2025, StarkNet saw $72 million in bridged BTC staked on its network, tripling its total value locked (TVL) since the start of the BTCFi era, according to a

. Likewise, zkSync’s Q4 2025 transaction fees jumped 694% week-over-week, with its governance token trading close to $0.0611 and a market capitalization above $500 million, as stated in a
.

These figures illustrate a larger movement: ZK-based platforms are increasingly attracting both individual and institutional investors. Alex Gluchowski, zkSync’s co-founder, revealed intentions to expand the ZK token’s utility through on-chain governance and external collaborations, as mentioned in the

, which could further boost demand.

Strategic Investment Perspective

The intersection of protocol improvements, institutional participation, and on-chain expansion is creating a self-reinforcing cycle for ZK infrastructure. Ethereum’s adoption of EIP-7732 and a zkEVM, as outlined in the

, will strengthen privacy and resistance to censorship, in line with international regulatory standards. For investors, this marks a significant long-term chance to benefit from the next wave of blockchain growth.

As ZK technology transforms Ethereum’s core strengths, early investment in layer 2 projects and their native tokens could deliver substantial gains. The focus should be on identifying initiatives with strong applications—such as RWAs, cross-chain compatibility, and enterprise-level compliance—that fit Ethereum’s resilient development path.