What Would Ethereum Layer 3 Look Like? Vitalik Buterin Has Some Concepts

Key Takeaways

  • Ethereum creator Vitalik Buterin has printed a weblog submit outlining how Layer 3 scaling options may work.
  • He acknowledged that Layer 3 options can’t encompass stacked rollups, as this might not end in environment friendly information compression.
  • Buterin outlined two potentialities: Layer 3 platforms with specialised features and batch verifier contracts.

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Ethereum creator Vitalik Buterin believes that stacking rollups won’t successfully scale Ethereum—however he nonetheless has some concepts about the way forward for Layer 3 scaling.

Buterin Questions Rollup Stacking

Layer 2 platforms are nonetheless of their infancy, however Vitalik Buterin is already fascinated about Layer 3 scaling.

In a weblog submit titled “What sort of layer 3s make sense?”, Buterin mused on methods through which Layer 3 scaling options may assist Ethereum course of transactions extra effectively.

Ethereum’s mainnet presently has a throughput of about 15 transactions per second. In periods of excessive exercise, customers face community congestion and intensely excessive gasoline costs as their transactions can’t match into obtainable block area. In November 2021, customers paid as a lot as $62.11 for a token swap—an operation that presently prices about $1.36.

Layer 2 scaling options known as “rollups” have been designed to alleviate this drawback. Rollups outsource a transaction’s computational information to a different chain, then submit an simply verifiable cryptographic transaction proof to Ethereum’s mainnet. This permits transactions to be bundled collectively, saving a major quantity of block area.

Buterin beforehand acknowledged that rollups may assist Ethereum attain a throughput of 100,000 transactions per second. Arbitrum, Optimism, Starknet, and zkSync are all examples of rollups.

Nonetheless, rollups have limitations. Buterin stated in his newest weblog submit that rollups of their present type can’t merely be stacked on high of each other due to information compression points.

Buterin argued that “information will be compressed as soon as, nevertheless it can’t be compressed once more.” If a second compressor gives a bonus, the logic of a second compressor often will be put into the primary compressor, he stated.

Layer 3 Offers Alternate options

As an alternative of stacking rollups, Buterin prompt assigning totally different functions to Layer 2 and its potential Layer 3s.

On this case, Layer 2 can be used for scaling. In the meantime, Layer 3 would help different features comparable to privacy-focused chains, non-EVM platforms, custom-made scaling options for particular purposes, or validiums (that are one other sort of rollup).

Buterin additionally prompt that Layer 3 programs might be created by modifying the best way that rollups presently operate. Some rollups, known as ZK-Rollups must confirm their state root proofs (a sort of cryptographic key) themselves.

As an alternative, Buterin argues for a brand new method involving a “batch verifier contract” that focuses on verifying these proofs. This may considerably deliver down gasoline costs for these scaling options while not having to determine a full EVM system as a center layer. In impact, ZK-Rollups would turn out to be Layer 3; there can be no must construct Layer 3 on high of them.

Buterin additionally stated that, no matter how Layer 3 options are constructed, they’ll enable sub-ecosystems to evolve inside Layer 2s.

Certainly, cross-domain operations may occur with out essentially having to cross by means of Ethereum’s mainnet—which suggests transactions would turn out to be less expensive. That would definitely be excellent news for Ethereum customers.

Disclaimer: On the time of writing, the writer of this piece owned BTC, ETH, and a number of other different cryptocurrencies.

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