OKX Ventures Invests in Type 2.5 zkEVM Project Kakarot

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The Web3 ecosystem continues to evolve at a rapid pace, driven by innovations in scalability, interoperability, and developer accessibility. At the forefront of this transformation is Kakarot, a groundbreaking Type 2.5 Zero-Knowledge Ethereum Virtual Machine (zkEVM) built using Cairo — a Turing-complete programming language designed for creating provable programs on blockchain. Backed by a seed round investment from OKX Ventures, Kakarot is emerging as a pivotal player in Ethereum’s journey toward scalable, secure, and EVM-compatible Layer-2 and Layer-3 solutions.

This strategic funding highlights growing confidence in zero-knowledge proof (ZKP) technologies and their potential to solve long-standing challenges in blockchain scalability and compatibility.

What Is Kakarot?

Kakarot began as a grassroots community initiative during a Starknet Hacker House event in October 2022. What started as an experimental project quickly gained momentum, evolving into a full-fledged company with a clear mission: to scale Ethereum while maintaining full EVM equivalence. Built on Starknet, Kakarot leverages the power of Cairo, a STARK-based language developed by Starkware, to enable Ethereum-compatible smart contracts within a zero-knowledge environment.

Unlike traditional zkEVMs that sacrifice some degree of compatibility for performance, Kakarot achieves full opcode equivalence — meaning it can execute every operation code native to Ethereum — allowing developers to deploy existing Ethereum dApps with minimal to no modifications.

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Why Type 2.5 zkEVM Matters

zkEVMs are categorized into different types based on their level of compatibility with Ethereum:

Kakarot is classified as a Type 2.5 zkEVM, representing a pragmatic middle ground between full equivalence and performance optimization. It offers near-complete EVM compatibility while being optimized for efficient proof generation using STARKs. This balance makes it ideal for developers who want to migrate Ethereum-native applications to scalable Layer-2 or Layer-3 environments without rewriting their codebase.

The project achieved full opcode support in just two and a half months, a testament to both the flexibility of Cairo and the strength of its development community.

Bridging Ethereum and Starknet

One of Kakarot’s most significant technical achievements is resolving the EVM incompatibility issue that has historically limited Starknet’s adoption among Ethereum developers. While Starknet offers powerful scalability through ZK-Rollups, its native Cairo language creates a steep learning curve for developers familiar with Solidity.

Kakarot acts as a bridge, enabling Ethereum-based dApps to run natively on Starknet without requiring developers to learn new tools or rewrite their contracts. This opens up Starknet’s high-throughput, low-cost infrastructure to the vast ecosystem of existing Ethereum projects — from DeFi protocols to NFT marketplaces.

Dora Yue, Founder of OKX Ventures, emphasized the strategic importance of this innovation:

“We are honored to participate in the seed round of investment in Kakarot, a Cairo language-based zkEVM. Kakarot is built on Starknet, utilizing an innovative coding language that resolves the issue of Starknet's incompatibility with EVMs. This advancement enables the Ethereum ecosystem to flourish on Starknet.”

Roadmap: From Testnet to Type-1 zkEVM

Kakarot is preparing to launch its first public testnet, which will operate as both a Layer-2 on Ethereum and a Layer-3 on Starknet. This dual-layer architecture allows for modular scalability — where applications can benefit from Ethereum’s security while achieving near-infinite transaction throughput via recursive ZK-Rollups.

Looking ahead, Kakarot has ambitious plans to evolve into a Type-1 zkEVM, enabling any Ethereum Layer-1 node to generate STARK proofs directly. This would represent a major leap toward full alignment with Ethereum’s consensus layer, further enhancing decentralization and trustlessness.

Additionally, the team is exploring advanced use cases such as:

These developments aim to position Kakarot not just as a scaling solution, but as a foundational infrastructure layer for the next generation of Web3 applications.

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FAQ: Your Questions About Kakarot Answered

Q: What makes Kakarot different from other zkEVMs?
A: Kakarot stands out by combining full EVM opcode equivalence with STARK-based proof systems on Starknet. Its Type 2.5 classification ensures high compatibility with Ethereum while optimizing for performance and developer ease.

Q: Can I deploy my Solidity smart contracts on Kakarot?
A: Yes. Thanks to its EVM-equivalent design, most Solidity-based contracts can be deployed on Kakarot with little or no modification, making migration seamless for developers.

Q: Is Kakarot a Layer-2 or Layer-3 solution?
A: Kakarot functions as both — it operates as a Layer-2 rollup on Ethereum and can also serve as a Layer-3 scaling solution on top of Starknet, offering flexible deployment options.

Q: What is the significance of using Cairo in Kakarot?
A: Cairo is a powerful, STARK-friendly language that enables efficient generation of zero-knowledge proofs. By building Kakarot in Cairo, the team ensures strong cryptographic security and high performance within the Starknet ecosystem.

Q: How does OKX Ventures’ investment impact Kakarot’s development?
A: The seed funding provides critical resources for engineering, community growth, and ecosystem partnerships, accelerating Kakarot’s path toward mainnet launch and broader adoption.

Q: When will Kakarot’s mainnet go live?
A: While no official date has been announced, the project is actively preparing its testnet phase, with mainnet expected to follow after rigorous testing and audits.

Core Keywords Driving Innovation

The key themes shaping Kakarot’s development include:

These keywords reflect both current technological priorities and future directions in decentralized systems — areas where Kakarot is making meaningful contributions.

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Final Thoughts

As Ethereum continues to scale through rollups and layer-specific architectures, projects like Kakarot play an essential role in ensuring that innovation doesn’t come at the cost of compatibility. By bridging the gap between EVM-based ecosystems and ZK-powered networks like Starknet, Kakarot empowers developers to build scalable, secure, and user-friendly applications without sacrificing familiarity or functionality.

With strong backing from OKX Ventures and momentum from an active open-source community, Kakarot is well-positioned to become a cornerstone of the next wave of Web3 development — where performance, security, and seamless interoperability converge.

This article is for informational purposes only and does not constitute financial, legal, or investment advice. Cryptocurrency investments involve risk; please consult a professional before making any decisions.