OKX cryptocurrency exchange announced the launch of a testnet named “X1,” a forthcoming Ethereum layer-2 network that will be part of the Polygon ecosystem and use zero-knowledge proofs to bridge assets from Ethereum.
Developed with the Polygon chain development kit (CDK), the X1 network will authenticate deposits and withdrawals between layers using zero-knowledge proofs.
CoinMarketCap data indicates that OKX is the sixth-largest centralized cryptocurrency exchange by volume, with daily trading volume exceeding $1.8 billion.
With a current market capitalization of over $3.6 billion, its token, OKB, ranks among the top 30 cryptocurrencies. The announcement stated that when a mainnet version of the new network is released, OKB will be the native coin used to pay gas fees.
X1 is undergoing development utilizing the Polygon CDK, which could potentially integrate it into the broader Polygon ecosystem. It also comprises the Polygon PoS, Near, Manta Pacific, and the zero-knowledge Ethereum Virtual Machine.
The announcement further states that OKX intends to contribute significantly to the development of the Polygon CDK software in the future by “investing substantial engineering resources to enhance the technology stack for Ethereum scaling solutions.”
According to OKX chief innovation officer Jason Lau, the new network will facilitate onboarding new users to Web3. Lau stated:
“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.”
Additionally, OKX is the Ethereum sidechain OKT Chain developer, which utilizes OKB as its native coin. Other exchanges have also constructed their networks: Coinbase debuted its layer-2 “Base” network on August 9, 2019, and Binance introduced the BNB Chain in 2019.
