Core Issues of L2 Solutions and Emerging Technologies

Recently, the gas fees on the Ethereum mainnet have dropped to the lowest level in five years, prompting many projects to reconsider the possibility of deploying on L1. However, L2 solutions are still addressing some core issues in the blockchain space.

There has long been a famous "impossible triangle" theory in the blockchain field. This theory states that in terms of security, decentralization, and scalability, a blockchain system can only achieve two of the three simultaneously. L2 solutions were born to break through this limitation.

The core objective of L2 is:

1. Store the status summary on L1 to ensure security;
2. Optimize the sorter design to maintain decentralization as much as possible;
3. Achieve scalability off-chain.

Among the many L2 solutions, OP and ZK Rollups are well-known. Today we will explore a different solution: Based-Rollup.

Based-Rollup is an early L2 solution proposed by the founder of Ethereum, and some L2 projects have been promoting this idea. Its core concept is to use ETH L1 for transaction ordering, thereby limiting the power of L2 sequencers.

In a standard OP system L2, sorters hold significant power, being able to determine the order of transactions and even profit through MEV. Different L2s handle MEV in various ways; some advocate for fair treatment, while others view it as free market behavior.

The workflow of Based-Rollup is as follows:

1. L2 searchers bundle transactions and send them to L2 block builders;
2. L2 block builders construct blocks;
3. L1 seekers include L2 blocks in the L1 blocks they build.

This method cleverly utilizes the remaining computational power of L1 seekers, allowing them to simultaneously undertake the work of L2 block construction. This is akin to having L2 managers also serve as L1 assistants, thereby mobilizing L1 resources to protect the security of L2.

A certain L2 project introduced a new concept in the past year: Based Booster Rollup (BBR). This concept may serve as an image of L1, bringing new possibilities to the L2 ecosystem.

The development of L2 technology is continuously driving the evolution of the blockchain ecosystem, providing diverse solutions to address scalability issues. With ongoing technological innovations, we look forward to seeing more groundbreaking solutions emerge.