BlockchainIntermediate#Layer 2#Scaling#Infrastructure
Rollups
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Definition
Layer 2 scaling solutions that execute transactions off-chain and post compressed data back to the main chain, increasing throughput while inheriting L1 security.
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Concept Diagram
Key Takeaways
1
Rollups bundle transactions off-chain and post compressed proofs to L1, cutting fees by 10-100x.
2
Optimistic Rollups use fraud proofs with a 7-day challenge window; ZK Rollups use mathematical proofs for instant finality.
3
All major Ethereum L2s are rollup-based — this is the accepted scaling roadmap.
4
Rollups inherit L1 security while dramatically increasing throughput.
Practical Example
A user swaps $10,000 USDC for ETH on Uniswap via Arbitrum. The transaction costs $0.25 in gas instead of $15 on mainnet, and settles in under 2 seconds thanks to optimistic rollup batching.
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Related Terms
Blockchain
Data Availability (DA)The guarantee that the data required to verify a block is available to all network participants, critical for Rollup security.
Blockchain
SequencerA node in a Rollup (L2) responsible for ordering transactions before they are batched and sent to the L1 (Ethereum).
Blockchain
Zero-Knowledge Proofs (ZKP)A cryptographic method that allows one party to prove to another that a statement is true without revealing any additional information.
Blockchain
Base Layer (Layer 1)The foundational blockchain architecture (e.g., Bitcoin, Ethereum) that provides security and finality for the entire network.
Blockchain
Layer 2 (L2)A secondary framework or protocol built on top of an existing blockchain (L1) to improve scalability and transaction speed.
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