The Secret Revolution: Ethereum’s Silent Battle to Reclaim Its Core Power and Unravel Layer 2 Mysteries

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Executives from Ethereum’s layer 2 networks, including Base, Arbitrum, and Optimism, are advocating for the implementation of “based” and “native” rollups to enhance Ethereum’s security and connectivity at the base layer. This shift is seen as necessary to unify Ethereum, which has become fragmented due to the proliferation of centralized sequencers that process transactions at a high speed for these layer 2s.

Jesse Pollak, head of Ethereum layer 2 Base, highlighted the advantages of based rollups during a recent call, noting their potential to increase Ethereum’s security guarantees by integrating more closely with its base layer. Ben Jones, Director of the Optimism Foundation, supported this approach, emphasizing the need for collaboration between Ethereum’s base layer and its layer 2 networks.


Despite the potential benefits, implementing based rollups means these layer 2 solutions would forgo a substantial portion of revenue generated through Maximum Extractable Value (MEV). These fees, accrued by centralized sequencers, are significant, with Arbitrum earning $210 million and Base $96.2 million, according to Dune Analytics.

Based rollups, proposed by Ethereum core developer Justin Drake, aim to return the block-building process to Ethereum’s base layer, fostering decentralization by involving all Ethereum validators rather than relying on a single sequencer. This could potentially redirect more revenue back to Ethereum’s base layer and positively impact Ether’s price. However, it would also extend transaction confirmation times from around one second on layer 2s to approximately 12 seconds on the base layer.

Additionally, native rollups are seen as a way to enhance transaction execution on the base layer, increasing the network’s composability. Executives from several layer 2 networks are also championing the adoption of the “FABRIC” infrastructure to address Ethereum’s interoperability issues. Daniel Wang, CEO of Ethereum layer 2 Taiko, expressed his company’s commitment to adopting the FABRIC standards to unify efforts across the network.

The shift towards based rollups marks a significant move to address Ethereum’s fragmentation and aims to bolster its security and decentralization, reshaping the transaction landscape on its platform.