08 Dec, 2023

Overview

The recent strides made in the realm of rollup solutions are undeniably impressive. Since the inception of rollups in 2018, an influx of talent and research has led to remarkable advancements. These include Ethereum Virtual Machine (EVM) equivalent rollups, the implementation of bridges based on fraud and validity proofs, breakthroughs in batch data compression, and the introduction of rollup Software Development Kits (SDKs). Notably, various rollup solutions like Optimism, Arbitrum, Base, zkSync, and StarkNet have entered the market, fostering a thriving ecosystem that has left alternative L1s in a vulnerable and exposed position as the fight for market share intensifies.

While the current adoption rate has met expectations and demonstrated the feasibility of onboarding the next generation of users, the growth trajectory of Layer 2 solutions (L2s) is set to accelerate in the coming months. With EIP-4844 on the horizon and the launch of new chains such as Scroll, Linea, and Base, L2s are now in the spotlight.

EIP-4844: Pruning the Cost Tree

The upcoming Dencun upgrade brings a notable feature, EIP-4844, also referred to as Proto-Danksharding, which marks a significant reduction in the operational costs associated with rollups. While the exact specifications of Danksharding continue to evolve, EIP-4844 paves the way for a seamless transition of the Ethereum protocol architecture to accommodate future Danksharding implementations.

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