Introducing: L2 Counterfactual Wallet and FIAT on-ramps

Adam Browman
Loopring Protocol
Published in
4 min readDec 21, 2021


We’re very excited to finally unveil the iOS and Android versions of our Layer 2 Counterfactual Wallet. Smart Wallet users who have been holding off on Layer 1 wallet deployment can now download the new wallet on Layer 2.

The Loopring Smart Wallet, the first Ethereum wallet with zkRollup scaling baked in, has helped users from getting priced out of Ethereum. Yet, creating the Smart Contract Wallet on Layer 1 has been a gas-heavy and expensive endeavour; this initial creation cost has prevented many users from experiencing all of the benefits of L2.

With the release of our Counterfactual Wallet, users can now deploy the Wallet on L2-only, bypassing a costly creation fee on L1. This-try-it-before-you-buy-it option allows users to experience the power of Ethereum L2 right away. If users would like to withdraw funds to L1, they can deploy their Ethereum L1 smart contract wallet, paying for the creation cost at that time.

One day our goal is to give users a complete L2-only experience, without the need to ever have to withdraw back to L1.

Play now, Pay later

The Counterfactual Wallet harnesses the massive scalability boost (100x cheaper fees), that comes with a zk-baked wallet. While zkRollups promise much of the same security guarantees as Ethereum, this Counterfactual Wallet is more of an introductory wallet, and does not include the limitless extensibility and security features compared to the full (L1+L2) Smart Wallet.

The L1 + L2 Wallet is not a ‘normal’ Ethereum address, it is a smart contract. As such, it is much more flexible, and has rules and logic baked in, which makes it much more user-friendly and secure. L1 Smart Wallet security features include guardians, setting daily limits, whitelisting trusted addresses, and locking it down if ever needed. The guardians allow for extreme peace of mind knowing you have the ability to recover your wallet and funds if it’s ever lost, stolen or deleted.

The Counterfactual Wallet (L2 only) gives you more of a basic security option. If your phone is ever stolen, lost or deleted, you are trusting the Official Loopring Guardian to recover your wallet. When recovering the Counterfactual Wallet, the smart contract must be created on L1 ultimately incurring a gas fee for the user.

It is recommended to use the Loopring Wallet with social recovery and guardians to access its full security potential. If at any point you choose to upgrade your security to unlock these features, you can deploy the L1 smart contract and pay the creation fee, giving you the full Smart Wallet experience.

FIAT on-ramps are here!

Finally! Onboarding onto Loopring just got a whole lot easier with direct L2 FIAT on-ramps. Thanks to our FIAT provider Ramp, users no longer have to jump through hoops and waste gas hopping onto our L2. With just a couple of clicks you’re living in a blazing fast, super cheap, and powerful Ethereum gateway on Loopring L2.

Getting funds onto our zkRollup seamlessly removes a massive barrier to Loopring adoption. This is a big moment for us as a Layer 2 Rollup and we’re excited for you to give direct deposits (and soon withdrawals) a try on Loopring L2 and the Loopring Wallet. We think this is a pivotal step for the traditional world to see what L2 hype is all about.

Holiday trading Giveaway!

Our Holiday Trading Competition is coming and is the perfect way to test out the seamless on-ramp and new low-cost Counterfactual Wallet.

From December 23rd to December 30th we will run our biggest liquidity mining campaign yet. Get ready for an exciting one-week swap tournament which includes $600k in rewards.

Trades from the Smart Wallet will receive a 1.5x multiplier in the tournament. Deposit gas-free now to your Loopring Wallet and get ready for a festive trading week.

All I want for Christmas is CEX…L2 Support!

Dear Centralized Exchanges,

We only have one request on our holiday wish list: Direct Layer 2 Deposit and Withdrawal Support. There’s nothing else that can advance L2 adoption like this direct bridge.

Call us if you get lonely, our lines will be open all holiday season.

Stay healthy, liquid, and secure.

❤ Loopring

About Loopring

Loopring is an Ethereum Layer 2 zkRollup protocol for scalable, secure exchanges & payments. Loopring builds non-custodial, high-performance products atop our L2, including the Loopring Wallet — a mobile Ethereum smart wallet, and the Loopring L2 web app — an L2 orderbook and AMM DEX. To learn more, you can sign up for our Quarterly Update or see