Loopring (LRC) And GameStop (GME) Move One Step Closer to a Potential NFT-related Tie-up Even as the Video Game Retailer Starts Accepting Dogecoin (DOGE) And Shiba Inu (SHIB)
Loopring (LRC), a Decentralized Exchange (DEX) that utilizes zkRollups, just took a significant step toward mass accessibility, thereby paving the way for a potential partnership with GameStop (NYSE:GME).
As a refresher, Rollups are a Layer 2 (L2) solution that aggregates and processes transactions outside of Ethereum’s main blockchain. These processed transactions are then bundled and posted on the main chain, thereby increasing Ethereum’s transaction processing power or scalability by orders of magnitude and bypassing its prohibitive transaction processing fees (also known as gas fees). Loopring uses a new type of Rollup, dubbed the zkRollup (zero-knowledge Rollups). A zero-knowledge proof makes a claim regarding the accuracy of a particular data set without actually sharing that data. This is done by generating proofs based on cryptographic computations for each batch of transactions. Since zkRollups do not require a challenge period, as the validity proofs have already verified the legitimacy of the underlying transaction data, transactions can be processed very quickly. In fact, Loopring claims that it can process over 2,000 trades per second.
This brings us to the crux of the matter. Loopring has now finally launched the much-anticipated L2 counterfactual wallets. This is a wallet with limited features that can be deployed direct on the L2, thereby evading the hefty gas fees associated with Loopring’s full-fledged L1+L2 smart wallet. As an introductory product offering with limited features, counterfactual wallets offer basic security while allowing users the ability to receive Ether and other tokens on Ethereum L1. The images below detail the full gamut of features that can be expected from this product offering:
Once users are confident, they can opt for the full-featured L1+L2 smart wallet by paying the associated gas fees. Bear in mind that if you are using a Centralized Exchange (CEX) such as Coinbase, you might still incur gas fees, especially if you route your funding for a counterfactual wallet via the Ethereum L1. Of course, users can very conveniently fund their counterfactual wallets by using Ramp, a fiat-to-crypto conversion service provider.
So, why are counterfactual wallets important in relation to GameStop and the much-hyped NFT-focused partnership between the two entities? Well, for quite a while now, counterfactual wallets were expected to drop simultaneously or in close conjunction with a potential NFT-related tie-up with GameStop. Now that the “precursor” development has materialized, it is not unreasonable to expect Loopring to launch its NFT marketplace feature soon.
Investors seem to be taking this development positively. As an illustration, Loopring’s native LRC token is up over 8 percent during the past 24 hours.
While a partnership with GameStop is not a 100 percent lock at this moment, it does remain quite likely. As we noted in a dedicated post previously, certain snippets of the source code from Loopring’s GitHub profile reference “gamestopmeta” in the “NFT-DEV” amended code branch, suggesting a high likelihood of integration with GameStop’s upcoming NFT-focused platform. Then, GameStop’s new job posting for a “Product Owner - Head of Web3 Gaming [REMOTE] In Seattle” caught our roving eyes. The job requires not only familiarity with “all new NFT/crypto projects” but also a working knowledge of “integrations with different blockchains and Ethereum Layer 2 environments”. Bear in mind that the LRC is a Layer 2 protocol on Ethereum. Taken together, these developments bolster the probability of some type of partnership between GameStop and Loopring.
Meanwhile, GameStop continues to deepen its penetration in the crypto sphere. For instance, the video game retailer has now conveyed that it would start accepting a host of cryptocurrencies, including Bitcoin (BTC), Ethereum (ETH), Dogecoin (DOGE), Shiba Inu’s SHIB coin, etc., as per an announcement by the crypto payment processor Flexa:
Download the SPEDN app (https://t.co/Nci6R7LkUP) to pay with any of your metaverse assets—along with bitcoin, ether, Dogecoin, Shib, litecoin, zcash, and more—at any GameStop location across the US. Game on!
— Flexa (@FlexaHQ) December 16, 2021
Do you think a potential partnership between Loopring and GameStop is just around the corner now? Let us know your thoughts in the comments section below.
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