{"id":56509,"date":"2022-01-25T07:00:00","date_gmt":"2022-01-25T05:00:00","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=56509"},"modified":"2025-09-04T06:46:37","modified_gmt":"2025-09-04T03:46:37","slug":"looking-ahead-with-optimism-how-rollups-solve-ethereums-scaling-challenge","status":"publish","type":"post","link":"https:\/\/forklog.com\/en\/looking-ahead-with-optimism-how-rollups-solve-ethereums-scaling-challenge\/","title":{"rendered":"Looking Ahead with Optimism: How Rollups Solve Ethereum&#8217;s Scaling Challenge"},"content":{"rendered":"<p><a href=\"https:\/\/forklog.com\/en\/news\/what-is-a-layer%e2%80%912-solution-in-blockchain\">Layer-2 scaling solutions<\/a> (L2) are rapidly evolving, and competition between projects is heating up.<\/p>\n<p><!--more--><\/p>\n<p>L2 technologies significantly speed up and reduce the cost of transactions, without sacrificing decentralisation. This is particularly relevant amid high Ethereum fees, which are pushing more users to alternative DeFi platforms such as <a href=\"https:\/\/forklog.com\/en\/news\/what-is-fantom-ftm\">Fantom<\/a>, <a href=\"https:\/\/forklog.com\/en\/news\/what-is-avalanche-avax\">Avalanche<\/a> and <a href=\"https:\/\/forklog.com\/en\/news\/the-binance-smart-chain-case-why-users-choose-low-fees-over-decentralisation\">Binance Smart Chain<\/a>.<\/p>\n<p>ForkLog has examined the features of Layer-2 solution Optimistic Rollups, weighed the advantages and drawbacks of the technology, and assessed the prospects for Ethereum&#8217;s scalability.<\/p>\n<div class=\"wp-block-text-wrappers-keypoints article_keypoints\">\n<ul class=\"wp-block-list\">\n<li>Projects built on Optimistic Rollups hold strong positions in the L2 solutions segment, but competition is growing.<\/li>\n<li>Metis Andromeda and Boba Network have demonstrated impressive growth in <span data-descr=\"the total value locked in the smart contracts of decentralized applications\" class=\"old_tooltip\">TVL<\/span> in a short period.<\/li>\n<li>With the launch of Ethereum 2.0, Layer-2 solutions will not lose relevance, but will dramatically increase the efficiency of the new blockchain system.<\/li>\n<\/ul>\n<\/div>\n<h2 class=\"wp-block-heading\">State of Play in the L2 Segment<\/h2>\n<p>According to data from <a href=\"https:\/\/l2beat.com\/\">L2BEAT<\/a>, the aggregate liquidity in L2 protocols <a href=\"https:\/\/l2beat.com\/\">exceeds $5 billion<\/a>. This is not a large figure compared with the total DeFi TVL (<a href=\"https:\/\/defillama.com\/\">~$190 billion<\/a>). However, there is a clear growth trend as second\u2011layer solutions mature and Ethereum&#8217;s scaling dilemma remains pressing.<\/p>\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"984\" height=\"933\" src=\"https:\/\/forklog.com\/wp-content\/uploads\/1-L2beat.png\" alt=\"\u0421\u043c\u043e\u0442\u0440\u0438\u043c \u0432 \u0431\u0443\u0434\u0443\u0449\u0435\u0435 \u0441 Optimism: \u043a\u0430\u043a Rollups \u0440\u0435\u0448\u0430\u044e\u0442 \u043f\u0440\u043e\u0431\u043b\u0435\u043c\u0443 \u043c\u0430\u0441\u0448\u0442\u0430\u0431\u0438\u0440\u043e\u0432\u0430\u043d\u0438\u044f Ethereum\" class=\"wp-image-162832\" srcset=\"https:\/\/forklog.com\/wp-content\/uploads\/1-L2beat.png 984w, https:\/\/forklog.com\/wp-content\/uploads\/1-L2beat-300x284.png 300w, https:\/\/forklog.com\/wp-content\/uploads\/1-L2beat-768x728.png 768w\" sizes=\"auto, (max-width: 984px) 100vw, 984px\" \/><figcaption class=\"wp-element-caption\">\u0414\u0430\u043d\u043d\u044b\u0435 <a href=\"https:\/\/l2beat.com\/\">L2BEAT<\/a> \u043f\u043e \u0441\u043e\u0441\u0442\u043e\u044f\u043d\u0438\u044e \u043d\u0430 21.01.2022.<\/figcaption><\/figure>\n<p>In the L2 segment, Arbitrum leads by a wide margin, though technically similar platforms \u2014 Metis Andromeda, Optimism and <a href=\"https:\/\/forklog.com\/en\/news\/november-2021-in-figures-boba-network-debut-planb-model-questioned-and-metaverse-token-rally\">Boba Network<\/a> \u2014 are gaining momentum.<\/p>\n<p>Upright position is also held by ZK-Rollups-based solutions \u2014 technology on which <a href=\"https:\/\/forklog.com\/en\/news\/vitalik-buterin-explains-the-role-of-zk-rollups-in-ethereum-scalability\">Vitalik Buterin<\/a> places his hopes.<\/p>\n<p>Below is a screenshot showing the difference in transaction costs between Ethereum and various Layer-2 solutions.<\/p>\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"507\" height=\"499\" src=\"https:\/\/forklog.com\/wp-content\/uploads\/2-L2fees.png\" alt=\"\u0421\u043c\u043e\u0442\u0440\u0438\u043c \u0432 \u0431\u0443\u0434\u0443\u0449\u0435\u0435 \u0441 Optimism: \u043a\u0430\u043a Rollups \u0440\u0435\u0448\u0430\u044e\u0442 \u043f\u0440\u043e\u0431\u043b\u0435\u043c\u0443 \u043c\u0430\u0441\u0448\u0442\u0430\u0431\u0438\u0440\u043e\u0432\u0430\u043d\u0438\u044f Ethereum\" class=\"wp-image-162833\" srcset=\"https:\/\/forklog.com\/wp-content\/uploads\/2-L2fees.png 507w, https:\/\/forklog.com\/wp-content\/uploads\/2-L2fees-300x295.png 300w\" sizes=\"auto, (max-width: 507px) 100vw, 507px\" \/><figcaption class=\"wp-element-caption\">\u0414\u0430\u043d\u043d\u044b\u0435 <a href=\"https:\/\/l2fees.info\/\">L2 Fees<\/a> \u043f\u043e \u0441\u043e\u0441\u0442\u043e\u044f\u043d\u0438\u044e \u043d\u0430 21.01.2022.<\/figcaption><\/figure>\n<p><a href=\"https:\/\/forklog.com\/en\/news\/polygon-acquires-hermez-network-in-250-million-deal\">Polygon Hermez<\/a>, Loopring and ZKSync on ZK-Rollups offer users the lowest transaction costs.\u00a0<\/p>\n<p>Early pioneers of the L2 space \u2014 Optimistic Ethereum and Arbitrum One \u2014 are not the cheapest options, despite higher TVL. Costs are substantially lower on Boba Network. <\/p>\n<p>Earlier we discussed <a href=\"https:\/\/forklog.com\/en\/news\/defi-reboot-how-arbitrum-became-ethereums-leading-layer-2-solution\">the features of Arbitrum<\/a> and outlined two main approaches to solving Ethereum&#8217;s scaling problem. In this article we take a closer look at other Optimistic Rollup projects and try to uncover the secret of their popularity.<\/p>\n<h2 class=\"wp-block-heading\">Optimism<\/h2>\n<p>The Optimism team was the first to develop an EVM-compatible solution based on Optimistic Rollups. The system runs atop Ethereum and can efficiently process transactions, inheriting the high degree of security and decentralisation of the second-largest cryptocurrency by market cap.<\/p>\n<p>Rollups reduce network load by grouping transactions and moving part of the computation off-chain. There are two main types of Rollups: ZK-Rollups and Optimistic Rollups (OR). In the former, cryptographic proofs (SNARKs) are generated and used to commit transactions to the blockchain and reconcile states of the base chain and the Layer-2 chain.<\/p>\n<p>Optimistic rollups rely on fraud proofs. Without performing any computations by default, they \u201coptimistically\u201d assume the data published on-chain is valid unless proven otherwise.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cBecause computations are the slow and costly part of using Ethereum, Optimistic rollups can offer scalability improvements of about 10\u2013100x, depending on transaction types. That figure could rise even further with the introduction of <a href=\"https:\/\/forklog.com\/en\/news\/what-is-ethereum-2-0\">shards<\/a>, since more data will be available if a transaction is challenged,\u201d as explained on the <a href=\"https:\/\/ethereum.org\/en\/developers\/docs\/scaling\/layer-2-rollups\/#optimistic-rollups\">Ethereum.org<\/a> site.<\/p>\n<\/blockquote>\n<p>Optimism employs two types of nodes \u2014 <a href=\"https:\/\/medium.com\/privacy-scaling-explorations\/an-introduction-to-optimisms-optimistic-rollup-8450f22629e8\">sequencers and verifiers<\/a>.Transactions sent by users to the Layer-2 network are collected by sequencers. The latter cryptographically sign the commitment to execute the received transaction exactly as written.\u00a0\u00a0<\/p>\n<p>Verifiers can dispute the validity of the transaction proposals submitted by sequencers. After that, the Rollup conducts the corresponding checks and computations using available state data.\u00a0<\/p>\n<p>If it turns out that a proposal is fraudulent, the verifier receives a reward, and the sequencer is punished \u2014 slashed.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cAnyone who can take actions that will need proving to protect their funds should stake. You basically take some ETH, lock it up and say: \u2018Hey, I promise to tell the truth\u2026 If I don\u2019t tell the truth and fraud is proven, this money will be slashed,\u2019 \u2014 explained Optimism co\u2011founder Ben Jones.<\/p>\n<\/blockquote>\n<p>According to him, part of these funds will go to paying the gas that ecosystem participants spent on proving fraud.<\/p>\n<p>Thus, the incentives are as follows: participants face penalties for misconduct and rewards for fraud proofs.<\/p>\n<p>To optimise the operation of the system and further cut gas costs, transactional data are written to the main Ethereum network as <a href=\"https:\/\/blog.openzeppelin.com\/ethereum-in-depth-part-2-6339cf6bddb9\/\">calldata<\/a>.<\/p>\n<p>In 2021 the Optimism team donated $1 million to support open-source projects on Ethereum.<\/p>\n<h2 class=\"wp-block-heading\">Advantages and Disadvantages of Optimism<\/h2>\n<p>Among Optimism&#8217;s main advantages are:<\/p>\n<ul class=\"wp-block-list\">\n<li>EVM compatibility;<\/li>\n<li>a high degree of data security;<\/li>\n<li>fast and inexpensive transactions.<\/li>\n<\/ul>\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"362\" src=\"https:\/\/forklog.com\/wp-content\/uploads\/pro_con-1024x362.png\" alt=\"\u0421\u043c\u043e\u0442\u0440\u0438\u043c \u0432 \u0431\u0443\u0434\u0443\u0449\u0435\u0435 \u0441 Optimism: \u043a\u0430\u043a Rollups \u0440\u0435\u0448\u0430\u044e\u0442 \u043f\u0440\u043e\u0431\u043b\u0435\u043c\u0443 \u043c\u0430\u0441\u0448\u0442\u0430\u0431\u0438\u0440\u043e\u0432\u0430\u043d\u0438\u044f Ethereum\" class=\"wp-image-162834\" srcset=\"https:\/\/forklog.com\/wp-content\/uploads\/pro_con-1024x362.png 1024w, https:\/\/forklog.com\/wp-content\/uploads\/pro_con-300x106.png 300w, https:\/\/forklog.com\/wp-content\/uploads\/pro_con-768x271.png 768w, https:\/\/forklog.com\/wp-content\/uploads\/pro_con.png 1200w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n<p>EVM compatibility means seamless integration \u2014 developers can deploy any Ethereum-based dApp to Optimism without significant changes to its architecture. <br \/>\u00a0<br \/>In October Optimism <a href=\"https:\/\/medium.com\/ethereum-optimism\/introducing-evm-equivalence-5c2021deb306\">announced<\/a> a shift toward the concept of &#8220;EVM equivalence&#8221;.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cEVM equivalence \u2014 full alignment with the Ethereum Virtual Machine specifications \u2014 will become the new universal standard in the L2 space,\u201d the developers emphasised.<\/p>\n<\/blockquote>\n<p>Unlike <a href=\"https:\/\/forklog.com\/en\/news\/sidechains-what-they-are-and-how-they-work\">sidechains<\/a> like Ronin, which operate independently and rely on their own security approaches, Optimism and similar solutions rely on Ethereum. Transactions are processed on L2, but their data are recorded and stored on the main chain.\u00a0<\/p>\n<p>As noted, Optimism helps users cut gas costs significantly. Transactions are processed almost instantly.<\/p>\n<p>One major drawback of Optimism: due to how fraud proofs operate, withdrawing funds via the official bridge <a href=\"https:\/\/gateway.optimism.io\/\">Optimism bridge<\/a> can take a week.\u00a0<\/p>\n<p>Once a withdrawal transaction is issued, it cannot be cancelled \u2014 users must wait seven days for their ETH to arrive. In addition, withdrawal costs can reach $100 or more, depending on <a href=\"https:\/\/etherscan.io\/gastracker\">gas costs on Ethereum<\/a>.<\/p>\n<p>Fortunately, there are <a href=\"https:\/\/forklog.com\/en\/news\/what-are-cross-chain-bridges\">cross-chain bridges<\/a> from external projects like <a href=\"https:\/\/app.hop.exchange\/send?sourceNetwork=ethereum&#038;destNetwork=optimism&#038;token=USDC#\/send?token=ETH\">Hop Exchange<\/a> and <a href=\"https:\/\/cbridge.celer.network\/#\/transfer\">cBridge<\/a>, enabling quick transfers between networks at modest cost.<\/p>\n<p>The Optimism network relies on the incentives of verifiers to dispute fraudulent proposals and on the proper functioning of sequencers.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cIf the number of fraudulent proposals is small or non-existent, verifiers earn less, or even nothing, for maintaining the node,\u201d explained the analytics firm <a href=\"https:\/\/www.nansen.ai\/\/research\/optimism-paving-an-optimistic-future-for-ethereum\">Nansen<\/a>.<\/p>\n<\/blockquote>\n<p>According to them, such a situation reduces verifiers&#8217; motivation to participate actively in the ecosystem.\u00a0<\/p>\n<p>If there are no verifiers, sequencers could, at their discretion, push fraudulent transactions, risking a network failure. However, Nansen believes such a scenario is unlikely.<\/p>\n<p>Additionally, a sequencer could attempt to bribe Ethereum miners to allow fraudulent proposals to pass computational checks at very low cost.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cSuch a situation could lead to a complete loss of trust in the network and its eventual breakdown,\u201d the analytics firm warned.<\/p>\n<\/blockquote>\n<h2 class=\"wp-block-heading\">Differences Between Optimism and Arbitrum<\/h2>\n<p>The Optimism team was the first to create an EVM\u2011compatible protocol on Optimistic Rollups, but launching the mainnet was delayed several times. Arbitrum took advantage of that early-mover gap.<\/p>\n<p>For example, the Uniswap team planned to launch on Optimism soon after Uniswap v3 release. <\/p>\n<p>While waiting for Uniswap on Optimism, the exchange community <a href=\"<a href=\"https:\/\/forklog.com\/en\/news\/uniswap-users-back-arbitrum-deployment-of-dex-on-layer-2\">&#8220;>endorsed integrating Arbitrum<\/a><\/a>. <\/p>\n<p>Optimism and Arbitrum are similar in many respects. Their key difference lies in the logic of \u201cfraud proofs.\u201d<\/p>\n<p>Optimism uses a non\u2011interactive approach to fraud proofs, where verification requires re\u2011executing the entire transaction and corresponding computations on Layer 1. Arbitrum uses an interactive approach in the context of fraud proofs, where the verification checks are performed only for a specific step.<\/p>\n<p>The non\u2011interactive approach offers simplicity of implementation and faster execution by avoiding the need to coordinate actions among ecosystem participants.\u00a0<\/p>\n<p>In terms of EVM, Optimism places more reliance on EVM than Arbitrum. When a fraud proof is offered, the entire transaction passes through the Ethereum Virtual Machine. For Arbitrum, the dispute resolution happens off\u2011chain, after which a one\u2011step assertion is posted to the EVM for final verification.<\/p>\n<p>As part of the push toward EVM equivalence, developers at Optimism plan to move to an interactive fraud\u2011proof model and to push for greater decentralisation.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cThe difference between EVM equivalence and EVM compatibility is that, in the former, processing occurs on the EVM, while in the latter it occurs on a compatible VM like Arbitrum Virtual Machine, much as is happening today with Arbitrum,\u201d explained a Nansen blog post.<\/p>\n<\/blockquote>\n<p>There is even talk that Optimism may, in the future, be supported on centralised exchanges such as Binance and Huobi. The ability to move funds from a CEX directly into the ecosystem, without bridges, could further lift its TVL.<\/p>\n<p>According to DeFi Llama, Arbitrum supports <a href=\"https:\/\/defillama.com\/chain\/Arbitrum\">53 dapps<\/a> (as of 23.01.2022), while Optimism supports only <a href=\"https:\/\/defillama.com\/chain\/Optimism\">19 applications<\/a>. Moreover, more than 40% of the ecosystem\u2019s total TVL is attributed to Synthetics, which was among the first to integrate Optimistic Ethereum.<\/p>\n<p>Notably, the difference between the projects extends beyond TVL and supported platforms \u2014 the daily transaction count on Arbitrum is roughly 17 times higher than on Optimism.<\/p>\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"599\" height=\"418\" src=\"https:\/\/forklog.com\/wp-content\/uploads\/3-Transactions-Ethereum-vs-Optimism.png\" alt=\"\u0421\u043c\u043e\u0442\u0440\u0438\u043c \u0432 \u0431\u0443\u0434\u0443\u0449\u0435\u0435 \u0441 Optimism: \u043a\u0430\u043a Rollups \u0440\u0435\u0448\u0430\u044e\u0442 \u043f\u0440\u043e\u0431\u043b\u0435\u043c\u0443 \u043c\u0430\u0441\u0448\u0442\u0430\u0431\u0438\u0440\u043e\u0432\u0430\u043d\u0438\u044f Ethereum\" class=\"wp-image-162835\" srcset=\"https:\/\/forklog.com\/wp-content\/uploads\/3-Transactions-Ethereum-vs-Optimism.png 599w, https:\/\/forklog.com\/wp-content\/uploads\/3-Transactions-Ethereum-vs-Optimism-300x209.png 300w\" sizes=\"auto, (max-width: 599px) 100vw, 599px\" \/><figcaption class=\"wp-element-caption\">Data: <a href=\"https:\/\/pro.nansen.ai\/multichain\/eth-vs-optimism\">Nansen<\/a>.<\/figcaption><\/figure>\n<p>In the future one might expect the gap to close as more protocols plan to support Optimism. In addition, the project team recently dropped the concept of a \u201cwhite list\u201d and opened access to all developers.\u00a0<\/p>\n<p>Previously, interaction with Optimism was limited to authorised projects such as Uniswap and Synthetix. The developers said the restriction was necessary for testing, as a small number of teams made planning and deployment easier. Representatives of authorised projects, in turn, were always in touch and promptly reported bugs.<\/p>\n<p>As with Arbitrum, Optimism has not yet announced plans to release a native token.<\/p>\n<h2 class=\"wp-block-heading\">Metis Andromeda<\/h2>\n<p>For a long time, Arbitrum and Optimism competed mainly with each other for leadership among Optimistic Rollup projects. Then a new player appeared on the horizon \u2014 Metis Andromeda.<\/p>\n<p>The TVL of this project grew more than 200x in less than a month \u2014 from $1.6 million (28.12.2021) to $335.6 million (21.01.2022).<\/p>\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"571\" src=\"https:\/\/forklog.com\/wp-content\/uploads\/4-Metis-TVL-1024x571.png\" alt=\"\u0421\u043c\u043e\u0442\u0440\u0438\u043c \u0432 \u0431\u0443\u0434\u0443\u0449\u0435\u0435 \u0441 Optimism: \u043a\u0430\u043a Rollups \u0440\u0435\u0448\u0430\u044e\u0442 \u043f\u0440\u043e\u0431\u043b\u0435\u043c\u0443 \u043c\u0430\u0441\u0448\u0442\u0430\u0431\u0438\u0440\u043e\u0432\u0430\u043d\u0438\u044f Ethereum\" class=\"wp-image-162836\" srcset=\"https:\/\/forklog.com\/wp-content\/uploads\/4-Metis-TVL-1024x571.png 1024w, https:\/\/forklog.com\/wp-content\/uploads\/4-Metis-TVL-300x167.png 300w, https:\/\/forklog.com\/wp-content\/uploads\/4-Metis-TVL-768x429.png 768w, https:\/\/forklog.com\/wp-content\/uploads\/4-Metis-TVL.png 1387w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption class=\"wp-element-caption\">\u0414\u0430\u043d\u043d\u044b\u0435: <a href=\"https:\/\/defillama.com\/chain\/Metis\">DeFi Llama<\/a>.<\/figcaption><\/figure>\n<p>The growth was driven by the rise of the native METIS token and numerous integrations. Recently, Beefy Finance and Pickle added support for the new network.<\/p>\n<p>Above, the lion\u2019s share of TVL is held by NetSwap, a Uniswap fork. It\u2019s likely that the popularity of this DEX owes much to the NETT token airdrop for early adopters.<\/p>\n<p>Launched in 2018, Metis positions itself as a faster, more efficient version of Optimism. Its founders are <a href=\"https:\/\/www.linkedin.com\/in\/esinelnikova\/\">Elena Sinelnikova<\/a>, also known for CryptoChicks, <a href=\"https:\/\/www.linkedin.com\/in\/kevinliudac\/\">Kevin Liu<\/a> and <a href=\"https:\/\/www.linkedin.com\/in\/yuansu\/\">Yuan Su<\/a>. The METIS token was released in 2020.<\/p>\n<p>Metis Andromeda is an EVM\u2011compatible platform. It is built on a fork of the <a href=\"https:\/\/medium.com\/ethereum-optimism\/ovm-deep-dive-a300d1085f52\">Optimism Virtual Machine<\/a> named Metis Virtual Machine (MVM).<\/p>\n<p>As with other Optimistic Rollup solutions, Metis uses sequencers to order and \u201cpack\u201d transactions before sending final state changes to the main Ethereum network.\u00a0<\/p>\n<p>A notable feature of Metis Andromeda is that many sequencers are grouped into on\u2011chain structures called Decentralized Autonomous Companies (DACs). In each block the protocol randomly selects a new sequencer from a DAC to submit a state change to the mainnet.\u00a0<\/p>\n<p>DACs are in essence similar to DAOs. Metis positions them as on\u2011chain organisations that enable users to collaborate and take certain actions in the ecosystem (for example, to launch a sequencer pool or a new application on the MVM). To validate transaction packages, sequencers must stake METIS.\u00a0<\/p>\n<p>Users can also act as \u201cRangers\u201d who monitor sequencer activity. If fraud proofs are verified, Rangers receive rewards in METIS, and sequencers are slashed.<\/p>\n<p>Key features of Metis include:<\/p>\n<ul class=\"wp-block-list\">\n<li>IPFS integration for cheap and confidential data storage;<\/li>\n<li>fast verification during state changes thanks to the use of \u201cRangers\u201d;<\/li>\n<li>Polis Middleware \u2014 software to simplify launching and porting apps from Web 2.0 to Web 3.0;<\/li>\n<li>the ability to launch new execution layers for DACs, aimed at scaling;<\/li>\n<li>configurable access levels to the MVM.<\/li>\n<\/ul>\n<p>In addition to the near-instant and low-cost transactions typical of OR solutions, Metis Andromeda offers faster withdrawals to Ethereum thanks to a redesigned fraud\u2011detection system using \u201cRangers,\u201d reducing state-change confirmation times from days to hours. <\/p>\n<p>TVL of Metis Andromeda is comparable to Optimism \u2014 $411 million and $485 million respectively (data from <a href=\"https:\/\/l2beat.com\/\">L2BEAT<\/a> as of 24.01.2022).<\/p>\n<h2 class=\"wp-block-heading\">Boba Network<\/h2>\n<p>This is another Optimistic Rollups protocol, whose popularity is boosted by a token airdrop of BOBA for OMG Network holders.<\/p>\n<p>The mainnet for Boba Network launched on 20 September 2021. The platform is developed by Enya, a participant in OMG Foundation. <\/p>\n<p>The protocol runs on Optimism. However, as its founder Alan Chiou noted, withdrawals to Ethereum occur within minutes.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cWe have a feature called Hybrid Compute that lets developers build advanced algorithms that would be too expensive to run on-chain,\u201d Chiou said.<\/p>\n<\/blockquote>\n<p>He added that Solidity, Ethereum\u2019s native language, significantly constrains DeFi developers, many of whom \u201chad to simplify their algorithms.\u201d<\/p>\n<p>Chiou noted that the protocol is also oriented toward NFT use cases.<\/p>\n<p>TVL of the Boba Network stands at $245 million (as of 24.01.2022).<\/p>\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"987\" height=\"417\" src=\"https:\/\/forklog.com\/wp-content\/uploads\/Boba-Network-TVL.png\" alt=\"\u0421\u043c\u043e\u0442\u0440\u0438\u043c \u0432 \u0431\u0443\u0434\u0443\u0449\u0435\u0435 \u0441 Optimism: \u043a\u0430\u043a Rollups \u0440\u0435\u0448\u0430\u044e\u0442 \u043f\u0440\u043e\u0431\u043b\u0435\u043c\u0443 \u043c\u0430\u0441\u0448\u0442\u0430\u0431\u0438\u0440\u043e\u0432\u0430\u043d\u0438\u044f Ethereum\" class=\"wp-image-162837\" srcset=\"https:\/\/forklog.com\/wp-content\/uploads\/Boba-Network-TVL.png 987w, https:\/\/forklog.com\/wp-content\/uploads\/Boba-Network-TVL-300x127.png 300w, https:\/\/forklog.com\/wp-content\/uploads\/Boba-Network-TVL-768x324.png 768w\" sizes=\"auto, (max-width: 987px) 100vw, 987px\" \/><figcaption class=\"wp-element-caption\">\u0414\u0430\u043d\u043d\u044b\u0435: <a href=\"https:\/\/l2beat.com\/\" title=\"https:\/\/l2beat.com\/\">L2BEAT<\/a>.<\/figcaption><\/figure>\n<h2 class=\"wp-block-heading\">Advantages of Modular Architectures<\/h2>\n<p>Blockchains face a challenge known as the \u201cscalability trilemma.\u201d It is hard to build a system that is simultaneously fast, decentralised and secure. Developers often have to pick and optimise at most two of the three.<\/p>\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"517\" src=\"https:\/\/forklog.com\/wp-content\/uploads\/scalability-min-1024x517-1.png\" alt=\"\u0421\u043c\u043e\u0442\u0440\u0438\u043c \u0432 \u0431\u0443\u0434\u0443\u0449\u0435\u0435 \u0441 Optimism: \u043a\u0430\u043a Rollups \u0440\u0435\u0448\u0430\u044e\u0442 \u043f\u0440\u043e\u0431\u043b\u0435\u043c\u0443 \u043c\u0430\u0441\u0448\u0442\u0430\u0431\u0438\u0440\u043e\u0432\u0430\u043d\u0438\u044f Ethereum\" class=\"wp-image-162838\" srcset=\"https:\/\/forklog.com\/wp-content\/uploads\/scalability-min-1024x517-1.png 1024w, https:\/\/forklog.com\/wp-content\/uploads\/scalability-min-1024x517-1-300x151.png 300w, https:\/\/forklog.com\/wp-content\/uploads\/scalability-min-1024x517-1-768x388.png 768w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption class=\"wp-element-caption\">\u0418\u043b\u043b\u044e\u0441\u0442\u0440\u0430\u0446\u0438\u044f \u0442\u0440\u0438\u043b\u0435\u043c\u043c\u044b \u043c\u0430\u0441\u0448\u0442\u0430\u0431\u0438\u0440\u0443\u0435\u043c\u043e\u0441\u0442\u0438, \u043a\u043e\u0442\u043e\u0440\u0430\u044f \u043f\u043e\u0434\u0440\u0430\u0437\u0443\u043c\u0435\u0432\u0430\u0435\u0442 \u0441\u043b\u043e\u0436\u043d\u043e\u0441\u0442\u044c \u0441\u043e\u0437\u0434\u0430\u043d\u0438\u044f \u043e\u0434\u043d\u043e\u0432\u0440\u0435\u043c\u0435\u043d\u043d\u043e \u0431\u044b\u0441\u0442\u0440\u043e\u0439, \u0434\u0435\u0446\u0435\u043d\u0442\u0440\u0430\u043b\u0438\u0437\u043e\u0432\u0430\u043d\u043d\u043e\u0439 \u0438 \u0431\u0435\u0437\u043e\u043f\u0430\u0441\u043d\u043e\u0439 \u0431\u043b\u043e\u043a\u0447\u0435\u0439\u043d\u2011\u043f\u043b\u0430\u0442\u0444\u043e\u0440\u043c\u044b. \u0417\u0430\u0447\u0430\u0441\u0442\u0443\u044e \u0440\u0430\u0437\u0440\u0430\u0431\u043e\u0442\u0447\u0438\u043a\u0430\u043c \u043f\u0440\u0438\u0445\u043e\u0434\u0438\u0442\u0441\u044f \u0432\u044b\u0431\u0438\u0440\u0430\u0442\u044c \u0438 \u043e\u043f\u0442\u0438\u043c\u0438\u0437\u0438\u0440\u043e\u0432\u0430\u0442\u044c \u043c\u0430\u043a\u0441\u0438\u043c\u0443\u043c \u0434\u0432\u0430 \u043a\u043e\u043c\u043f\u043e\u043d\u0435\u043d\u0442\u0430 \u0438\u0437 \u0442\u0440\u0435\u0445.<\/figcaption><\/figure>\n<p>Analysts at Nansen believe that the ETH 2.0 rollout and the transition from Proof-of-Work to Proof-of-Stake is just the \u201ctip of the iceberg\u201d in resolving the above trilemma.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cThe real end goal is to create a completely new framework for scaling that moves from monolithic blockchains to modular ones,\u201d the experts emphasised.<\/p>\n<\/blockquote>\n<p>In monolithic systems all computations are performed in a single network. Following a recent <a href=\"https:\/\/forklog.com\/en\/news\/solana-network-outage-lasts-48-hours-users-report\">Solana outage<\/a>, some in the community questioned the viability of monolithic structures.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">Solana being down for 48 hours multiple times now makes me question the viability of a monolithic structure.<\/p>\n<p>It\u2019s clear the winning blockchain of the future will likely be one with a modular architecture.<\/p>\n<p>Bullish <a href=\"https:\/\/twitter.com\/search?q=%24ETH&#038;src=ctag&#038;ref_src=twsrc%5Etfw\">$ETH<\/a> 2.0 \ud83d\ude80 &#038; Cosmos Ecosystem.<\/p>\n<p>\u2014 Daniel Cheung (@HighCoinviction) <a href=\"https:\/\/twitter.com\/HighCoinviction\/status\/1484976175076323329?ref_src=twsrc%5Etfw\">January 22, 2022<\/a><\/p><\/blockquote>\n<p> <script async=\"\" src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cThe leading blockchain of the future is likely to be modular in architecture. Bullish on ETH 2.0 and the Cosmos ecosystem,\u201d wrote investor Daniel Chun.<\/p>\n<\/blockquote>\n<p>Modular blockchains split systems into layers for execution, security and data availability. Each layer sits atop another, performing a dedicated role.\u00a0<\/p>\n<p>In Ethereum, L1 handles security and data availability, while L2 built on top handles transaction execution.<\/p>\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"625\" src=\"https:\/\/forklog.com\/wp-content\/uploads\/monolith_modular-1024x625.png\" alt=\"\u0421\u043c\u043e\u0442\u0440\u0438\u043c \u0432 \u0431\u0443\u0434\u0443\u0449\u0435\u0435 \u0441 Optimism: \u043a\u0430\u043a Rollups \u0440\u0435\u0448\u0430\u044e\u0442 \u043f\u0440\u043e\u0431\u043b\u0435\u043c\u0443 \u043c\u0430\u0441\u0448\u0442\u0430\u0431\u0438\u0440\u043e\u0432\u0430\u043d\u0438\u044f Ethereum\" class=\"wp-image-162839\" srcset=\"https:\/\/forklog.com\/wp-content\/uploads\/monolith_modular-1024x625.png 1024w, https:\/\/forklog.com\/wp-content\/uploads\/monolith_modular-300x183.png 300w, https:\/\/forklog.com\/wp-content\/uploads\/monolith_modular-768x469.png 768w, https:\/\/forklog.com\/wp-content\/uploads\/monolith_modular.png 1200w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption class=\"wp-element-caption\">Examples of monolithic and modular systems.<\/figcaption><\/figure>\n<p>The base Ethereum layer can currently process roughly 15 TPS. Layer-2s can significantly raise this figure \u2014 up to <a href=\"https:\/\/ethereum-magicians.org\/t\/a-rollup-centric-ethereum-roadmap\/4698\">2,000\u20134,000 TPS<\/a>.<\/p>\n<p>Layer-2 solutions could indeed coexist with sharding in Ethereum 2.0, potentially enabling thousands or even millions of transactions per second in the future.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cWhen Phase 1 arrives and Rollups move into the Eth2 ecosystem with data sharding, we will reach a theoretical maximum of around 100,000 TPS,\u201d reads Vitalik Buterin\u2019s statement in <a href=\"https:\/\/ethereum-magicians.org\/t\/a-rollup-centric-ethereum-roadmap\/4698\">\u201cRollup\u2011centric Ethereum Roadmap\u201d<\/a>.<\/p>\n<\/blockquote>\n<p>Buterin is convinced that Rollups are the key to Ethereum&#8217;s scalability not only in the near and medium term but also in the long term. Cross\u2011chain bridges should facilitate seamless interaction between different blockchain ecosystems and L2 solutions.<\/p>\n<h2 class=\"wp-block-heading\">Conclusions<\/h2>\n<p>Optimistic Rollup solutions are developing rapidly, offering users fast and inexpensive transactions and providing developers with easy integration and a wide range of use cases thanks to EVM compatibility.<\/p>\n<p>Arbitrum and Optimism remain leaders, continuing to develop toward higher throughput and greater decentralisation.<\/p>\n<p>New protocols \u2014 Metis Andromeda and Boba Network \u2014 are gaining traction with faster withdrawals enabled by revised fraud-proof approaches. Both projects have native tokens whose prices have closely tracked TVL growth.<\/p>\n<p>With Ethereum 2.0, Rollups will not lose their relevance but will be able to expand significantly thanks to sharding. Given DeFi\u2019s pace and related NFT, DAO, GameFi and metaverse activity, L2 solutions will play a crucial role for many projects and the crypto industry at large.\u00a0<\/p>\n<p>Market participants can be confident that competition between monolithic and modular systems will only benefit the sector.<\/p>\n<p>Subscribe to ForkLog on YouTube channel at <a href=\"https:\/\/www.youtube.com\/channel\/UCC9FnXTC8_ENzaNSO5cHQ6g\" target=\"_blank\" rel=\"nofollow noopener\">YouTube<\/a>!<\/p>\n","protected":false},"excerpt":{"rendered":"<p>ForkLog examined the features of Layer-2 Optimistic Rollups, weighed the advantages and drawbacks of the technology, and assessed Ethereum&#8217;s scaling prospects.<\/p>\n","protected":false},"author":1,"featured_media":56510,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"5","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[1144],"tags":[46,1179,1362,1406,277],"class_list":["post-56509","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-longreads","tag-ethereum","tag-layer-2-solutions","tag-optimism-op","tag-optimistic-rollup","tag-scaling"],"aioseo_notices":[],"amp_enabled":true,"views":"35","promo_type":"1","layout_type":"5","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/56509","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/comments?post=56509"}],"version-history":[{"count":1,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/56509\/revisions"}],"predecessor-version":[{"id":56511,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/56509\/revisions\/56511"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media\/56510"}],"wp:attachment":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media?parent=56509"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/categories?post=56509"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/tags?post=56509"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}