TL;DR
- Vitalik Buterin proposes raising the decentralization standards in Ethereum, especially in Layer 2 scaling solutions.
- Ethereum needs to transition to a more balanced approach between Layer 1 and Layer 2.
- Only five projects in L2Beat have reached “stages 1 or 2”, and only Arbitrum is fully compatible with the Ethereum Virtual Machine (EVM).
Vitalik Buterin, one of the co-founders of Ethereum, has raised the need to elevate ETH’s decentralization standards, primarily in the realm of Layer 2 scaling solutions. Buterin proposes that developers focus on improving decentralization by the end of 2024.
The idea was shared in Buterin’s blog on March 28, where he reflected on Ethereum’s future after the launch of Dencun, which significantly reduced transaction fees for rollups on Layer 2. Vitalik pointed out that ETH is undergoing a significant transition, moving from a period of rapid progress on Layer 1 to a more balanced approach between Layer 1 and Layer 2.
Ethereum has blobs. Where do we go from here?https://t.co/P2cyf9sCwb
— vitalik.eth (@VitalikButerin) March 28, 2024
Regarding scaling, Vitalik noted that the issue has become a challenge. Now, the focus is on increasing block capacity and improving rollup efficiency to allow for greater performance and reduced congestion on the Ethereum network.
Additionally, he emphasized the importance of setting stricter standards, arguing that only a project that has achieved at least “stage 1” of decentralization should be considered a rollup. This implies that the project has advanced enough in terms of security and scalability, although it has not yet reached full decentralization, characteristic of “stage 2”. According to Vitalik, only five of the Layer 2 projects listed on L2Beat have reached “stages 1 or 2”, and only Arbitrum is fully compatible with the Ethereum Virtual Machine (EVM).
What’s Next for Ethereum?
The ETH co-founder outlined the next steps to take, including implementing data availability sampling to increase block capacity and optimizing Layer 2 solutions through techniques such as data compression and optimistic execution. He stressed the importance of gradually moving towards stage 2, where rollups are truly backed by code and decentralized, with a security council intervening only in case of code inconsistencies.
Vitalik Buterin’s proposals reflect ETH’s evolution towards a more efficient, secure, and decentralized system. With new ideas contributing to decentralization and interoperability in Layer 2 solutions, Ethereum aims to continue consolidating its leadership position in the industry.
