Ethereum is scaling, but the real challenge is not throughput but how institutions can enter the on-chain ecosystem without sacrificing privacy and compliance.

@zksync's proposed Prividium is building what I understand as the "Ethereum banking stack."
Institutions can deploy private, permissioned ZKsync chains based on ZK Stack, operating within their own infrastructure or cloud environments.
Transaction execution and state storage are kept off-chain, with only the state root and zero-knowledge proofs submitted to @Ethereum.
This means sensitive data is not exposed, but each batch of state updates is validated by Ethereum and achieves finality. Security comes from the mainnet, while privacy is maintained by the private execution layer.
More importantly, Prividium is not an isolated private chain. Through the ZKsync resilient network, assets and data can natively interoperate between private and public chains without third-party bridging or custodial structures.
Institutions can access Ethereum's liquidity and the Web3 ecosystem without exposing operational details.
Unlike traditional private chains, this architecture does not create liquidity islands. Unlike alternative L1s, it remains connected to Ethereum's capital base.
The "Ethereum banking stack" is not just a marketing term but a structural choice. Before regulatory capital enters the on-chain space, what it needs is not higher TPS but privacy execution, compliance interfaces, and settlement guarantees at the Ethereum level.
Prividium is filling this layer.