Isn't this what the original release was supposed to do?

DirectStorage 1.4 brings along key upgrades to the API, including support for Zstandard compression as well as CreatorID for improved GPU scheduling.

Steam is planning to use a new type of compression called zstandard (ZSTD) for downloaded game files. Right now, Steam uses a different compression method called LZMA (Lempel-Ziv-Markov chain ...

August 7, 2024 -- ZeroPoint Technologies is proud to announce the availability of zstd decompression as a hardware IP. This innovation brings the power and efficiency of the zstd algorithm to hardware ...