Vitalik Buterin Sets New Standard for Layer-2 Decentralization

13. Sep 2024 Posted by Laurent C. on News

Ethereum co-founder Vitalik Buterin has reaffirmed his commitment to raising the bar for layer-2 network decentralization, setting a clear benchmark for the projects he will publicly endorse moving forward. In a statement posted on September 12, Buterin announced that starting next year, he will only recognize scaling solutions that meet what he calls “stage 1” on his decentralization scale.

Buterin emphasized that he takes this standard seriously and clarified that no exceptions will be made, regardless of personal relationships or investments. “It doesn’t matter if I invested, or if you’re my friend; stage 1 or bust,” he wrote. However, he did leave the door open for new, innovative projects, offering a potential grace period for those demonstrating significant potential.

A New Era for Layer-2 Rollups

Buterin expressed optimism for the future of zero-knowledge (ZK) rollups, with many development teams signaling their readiness to achieve “stage 1” by the end of the year. "The era of rollups being glorified multisigs is coming to an end," he noted. "The era of cryptographic trust is upon us."

This statement echoes Buterin’s ongoing efforts to steer the Ethereum community toward greater decentralization. Back in 2022, he introduced the concept of “training wheels” for Ethereum layer-2 scaling solutions, outlining a path toward fully decentralized operations.

Decentralization Stages: From Training Wheels to Full Autonomy

Buterin’s framework includes three stages of decentralization for rollup projects:

  • Stage 0 ("Full Training Wheels"): At this stage, projects are still heavily reliant on centralized controls, typically through a simple multisig wallet. While users can interact with rollups and withdraw funds without operator intervention, fraud and validity proofs are not yet required.

  • Stage 1 ("Minimum Decentralization"): This is the new standard Buterin will recognize moving forward. Layer-2 networks at this stage must implement active fraud-proof or validity-proof mechanisms. In addition, they must have a multi-signature override system (referred to as a “security council”) with strict conditions, such as a high quorum of external participants and a seven-day delay for any system upgrades.

  • Stage 2 ("No Training Wheels"): The final stage is full decentralization, where code can only be overridden in the case of clear bugs, and even then, only with limited involvement from the security council. At this point, upgrades must have a 30-day activation delay to ensure transparency and security.

Several layer-2 rollup teams, including ZKsync, Linea, Arbitrum, and Optimism, have expressed their intention to reach this ultimate level of decentralization within the next few years.

A Path to True Decentralization

Buterin's firm stance on decentralization highlights the importance of trustless systems in Ethereum's ecosystem. By setting clear milestones for projects to achieve, he aims to accelerate the transition from centralized control to fully decentralized, cryptographically secure networks. His message is clear: only the most secure and decentralized solutions will gain recognition in the Ethereum space moving forward.