Ethereum, the biggest platform for smart contracts, is getting better at handling lots of transactions. But it’s not doing it in a way that everyone agrees with. To handle all the traffic, Ethereum is using off-chain solutions called “roll-ups” to process transactions faster. This has led to a boom in Layer-2 platforms, like Arbitrum and Base, which are built on top of Ethereum.
The Layer-2 Boom and the Decentralization Question
These Layer-2 platforms are gaining popularity, but there’s a big question mark about their decentralization. Decentralization means that everyone has an equal say in how the network runs, not just a few powerful people.
The problem is that many Layer-2s haven’t fully decentralized yet. For example, they haven’t released a system that ensures transactions are valid without relying on a few trusted parties. This makes them vulnerable and could be a problem for the whole Ethereum ecosystem.
Will L2s Pay for Decentralization?
The fees for using Ethereum have been dropping lately, which could make it less attractive for validators (the people who secure the network) to support Layer-2s.
However, experts believe that Layer-2s will eventually have to pay validators to help them become decentralized. There are tons of validators out there, and they could choose to work with Layer-2s instead of the main Ethereum network. This would mean higher fees for Layer-2 users, but it would also make them more secure and decentralized.
The Future of Decentralization
Building a completely decentralized network for Layer-2s would be really complicated and expensive. So, it’s more likely that Layer-2s will pay a select group of Ethereum validators to help them out. These validators would get better fees than they do now, and the demand for their services would increase as more Layer-2s try to decentralize.
