What is Lumoz?

Lumoz is a ZK-RaaS (Zero-Knowledge Rollup as a Service) network with modular blockchain technology and ZK-RaaS innovation. Its modular architecture addresses the issue of excessive computational power consumption typically associated with ZK systems. Additionally, Lumoz lowers the barrier for ordinary users to participate in the ZK ecosystem. The project aims to simplify zk-Rollup deployment and encourage broader adoption, thereby driving the development of zkEVM application chains.

To date, Lumoz supports over 20 Layer2 chains, including MerlinChain, Hashkey, Ultiverse, and Matr1x.

Blockchain is often hindered by the “impossible triangle” dilemma—balancing scalability, security, and decentralization simultaneously is challenging. For example, Bitcoin (BTC) and Ethereum (ETH) prioritize security and decentralization at the expense of scalability. To address this, developers created Layer2 solutions.

With Lumoz, creating a Layer2 chain has never been easier. Developers can now launch a zkEVM chain with just one click. The process takes only 10 minutes, significantly reducing the infrastructure management burden and allowing developers to focus more on building applications. During the Lumoz testnet phase, over 145 miners participated, and more than 20,000 validator nodes were deployed.

Project Background

Lumoz was founded in 2022 and is backed by prominent investors such as Web3.com Ventures, OKX Ventures, Hashkey Capital, and IDG Blockchain, with additional investment from Polygon, NGC Ventures, Gate Ventures, Kucoin Ventures, Comma3 Ventures, and other well-known institutions. After completing a $4 million seed round in 2023, Lumoz raised an additional $6 million in its Pre-A round in 2024, bringing its valuation to $120 million. In May 2024, Lumoz also secured strategic financing, although the amount remains undisclosed. The latest valuation of the project is $300 million.

Nanfeng is the co-founder and CEO of Lumoz. He graduated from Tsinghua University and worked at ByteDance, where he played a key role in the foundational development and iteration of several major projects. Since 2018, he has led his team in the exploration and research of Zero-Knowledge (ZK) technologies.

Alvaro Fernández serves as the Chief Operating Officer (COO) of Lumoz. Before joining Lumoz, he was the Vice President at JRR Crypto, a well-known crypto institution. JRR Crypto is reported to have been an early investor in Binance.

Lumoz Project Supporters (Source: Lumoz.org)

Optimism Rollup vs. zk-Rollup

The principle behind Rollup is simple: multiple transactions are bundled into a single data packet and then uploaded to the main chain. The two most prominent approaches to Rollup are Optimism Rollup and zk-Rollup.

• Optimism Rollup assumes that all the data bundled in the rollup is valid, while
• zk-Rollup uses Zero-Knowledge Proof (ZKPs) cryptographic technology to verify the data’s validity.

In comparing these two main Rollup solutions, Vitalik Buterin (Ethereum’s co-founder) has repeatedly expressed his opinion: in the short term, Optimism has an edge, but in the long run, ZK will prevail. The reason is that Optimism has a lower entry barrier and has already achieved some level of scale effect, but it does not offer the same level of security as zk-Rollup. However, the main issue with zk-Rollup is its high computational power consumption. The emergence of modular blockchains can help solve this power consumption issue. Within this domain, Lumoz stands out as the sole provider of computational power.

Key Components of the Project

• Modular Computing Layer

Modularity can be simply understood as dividing tasks for collaboration, breaking the blockchain into distinct layers: Data Availability Layer (DA), Consensus Layer, Settlement Layer, and Execution Layer. This approach is designed to address the blockchain trilemma (the challenge of balancing scalability, security, and decentralization). By using Rollups to split the blockchain into layers, it helps to strike a balance between these three critical factors. Furthermore, for zk-Rollup, an additional core module is required: the Prover Layer.

Data Availability Layer (DA):

This layer records all transaction data occurring within the rollup and provides the complete data needed to update asset states in the Settlement Layer. It ensures the traceability and integrity of data, while also enhancing the security and reliability of the entire system.

Consensus Layer:

The Consensus Layer achieves agreement on the state of each transaction, ensuring the legality and security of transactions. It typically uses efficient consensus algorithms such as Proof of Stake (PoS) or Proof of Authority (PoA).

Settlement Layer:

The Settlement Layer is responsible for updating the asset states on the blockchain, typically operating on Layer 1 (main chain). It validates the data submitted by the Rollup and updates the results on the main chain, ensuring the accuracy and security of assets.

Execution Layer:

The Execution Layer handles transactions within the Rollup, recording and updating transaction states. It allows transactions to be processed quickly within the Rollup network without waiting for confirmations on the main chain, significantly improving transaction speed and efficiency.

• zkVerifer Node

The zkVerifier Node plays a crucial role in the Lumoz network. It is responsible for rigorously validating the computation process and results of the zkProver Node to ensure the accuracy of the computation and the overall reliability of the network. The zkVerifier Node is key to maintaining the integrity of the entire system. Efficiently processing proofs reduces operational costs and gas consumption.

The workflow of the zkVerifier Node (Source: Lumoz Docs)

In addition to improving efficiency and reducing transaction costs, the zkVerifier Node enhances interoperability, making Lumoz more widely applied. The zkVerifier can integrate proofs from various sources, supporting a broad range of zero-knowledge proof (ZKP) applications. This allows various projects and applications to leverage the zkVerifier service, promoting seamless collaboration between zkVerifier and major blockchain networks such as Ethereum.

• zkProver Node

The zkProver Node functions as the computational engine within the Lumoz network. It is responsible for executing tasks and generating corresponding Zero-Knowledge Proofs (ZKP) or Zero-Knowledge Functional Proofs (ZKFP). These proofs not only validate the correct execution of tasks but also ensure the privacy and security of the information involved. Lumoz optimizes ZK computation algorithms, significantly lowering the entry barriers, so ordinary users can easily join the Lumoz ZK computing network.

The workflow of the zkProver Node (Source: Lumoz Docs)

Lumoz reduces on-chain costs by 50% to 60% through a two-step verification process that only requires a single contract call. Additionally, the on-chain proof validation now occurs at the start of the submission window, shortening the time to reach a trusted state by around 30%. This drastically improves the efficiency of ZK proof generation and validation.

About the $MOZ Tokenomics

$MOZ Token

Lumoz adopts a dual-token economic model, with $MOZ being the native token of the Lumoz network, serving as the core asset of the mainnet. The $MOZ token plays a vital role within the Lumoz ecosystem. The total supply of $MOZ is 10 billion tokens, and the distribution is as follows:

• 25% for zkProver Miners
• 25% for zkVerifier Validator Nodes
• 16% for Core Contributors
• 18% for Investors
• 10% for the Ecosystem
• 6% for Community Building

$MOZ Token Distribution Diagram (Source: Lumoz.org)

$MOZ Use Cases

• All transactions within the Lumoz network require $MOZ as a fee (Gas Fee).
• Additionally, $MOZ is needed to access the Zero-Knowledge Proof (ZKP) computations and Artificial Intelligence (AI) services provided by the Lumoz network, serving as a resource usage fee.
• $MOZ can also be exchanged on a 1:1 ratio for $esMOZ tokens, adapting the token to a broader range of applications.

$esMOZ Token

$esMOZ is the governance token of the Lumoz ecosystem, used for the construction and maintenance of the mainnet. Currently, users can participate in staking on nodes, where the more $esMOZ staked, the higher the chance of earning rewards, as well as the amount of rewards stakers can receive. $esMOZ can be exchanged for $MOZ at a 1:1 ratio, but there will be a vesting period for the tokens.

Main Use Cases for $esMOZ

• Reward for Nodes:

$esMOZ serves as a reward for nodes (including zkProver and zkVerifier nodes) that provide computational power, security, and stability to the Lumoz network. It is recognition and compensation for the participants and contributors.

• Staking Mechanism:

$esMOZ is used in the network’s staking mechanism, acting as the token for participation in staking and promoting decentralized governance within the Lumoz ecosystem.

• Token Exchange:

$esMOZ can be exchanged for $MOZ based on different exchange periods. The exchange rate may vary depending on the duration of the vesting period.

Conclusion

In October of this year, Lumoz RaaS launched its Layer2 solution on the Move ecosystem, enabling Ethereum-based projects to seamlessly integrate into the Move ecosystem (including Sui, Aptos, and Movements). Drawing on years of accumulated ZKP (Zero-Knowledge Proof) expertise, Lumoz has optimized its circuit and algorithm innovations, significantly improving computational efficiency. This addresses the common issues of high costs and low efficiency in Rollup projects. Additionally, Lumoz lowers the barriers for users to participate in the ecosystem and the ZK computing market, opening the door for more people to access cutting-edge computing technologies.