Deutsche Bank, the German financial giant, is developing an Ethereum Layer 2 blockchain network based on ZKsync technology. The project aims to address compliance challenges for public blockchains in regulated finance by improving transaction efficiency and strengthening regulatory compliance.

This development is part of Project Guardian, promoted by the Monetary Authority of Singapore (MAS), and Deutsche Bank's L2 network is named Project Dama 2. The project brings together 24 financial institutions to explore the possibility of tokenizing blockchain assets.