Exploring Based-Rollup: A New Approach on Ethereum L2 Disrupting Traditional Ordering Rights

After the gas fees on the Ethereum L1 Mainnet dropped to their lowest level in five years, many projects are reconsidering the possibility of deploying on L1. This phenomenon raises the question: what core issues are the current L2 solutions actually addressing?

In the blockchain field, there has long existed a problem known as the "impossible triangle." According to industry experts, this triangle involves three aspects: security, decentralization, and scalability, of which only two can be achieved simultaneously.

From a technical perspective, L2 should focus on addressing the following issues:

1. Store the state summary on L1, with the Mainnet ensuring [security];
2. Maintain 【decentralization】 as much as possible by optimizing the sorter design;
3. Cleverly implement [scalability] in an off-chain environment.

Currently, different L2 solutions each have their own characteristics, such as OP Rollup and ZK Rollup, which are well-known. Today, we will discuss a different solution: Based-Rollup.

The Based L2 solution was initially proposed by industry-renowned experts, and certain L2 projects have been advancing this idea. It is worth noting that the "Based" here is not related to the Base project of a well-known trading platform, which belongs to the OP system.

In traditional OP system L2 systems, the sequencers hold significant power and can determine the order of transactions, profiting from MEV even without malicious intent. This is also why some projects propose decentralized sequencers.

Different L2s have varying strategies for handling MEV. For example, one L2 advocates for fair treatment of MEV (strictly processed in chronological order), while another L2 takes a relatively open stance, viewing MEV as a free market behavior and thus taxing it. However, the position of L2 sequencers is crucial regardless.

Based-Rollup chooses to directly change this situation - its core idea is to let ETH L1 execute sorting, thereby limiting the power of L2 sorters.

According to the diagram in the documentation of a certain L2 project, the operation of Based-Rollup can be divided into three steps:

1. L2 seekers package L2 transactions and send them to L2 block builders;
2. L2 block builders construct blocks;
3. L1 seekers will incorporate L2 blocks into the blocks they build on L1.

It is worth mentioning that L1 seekers and L2 builders can be the same entity.

This is a clever "one person playing two roles" approach. In fact, the device performance of L1 searchers usually has surplus capacity, and taking on the block construction work of L2 will not cause any strain.

If we compare ETH and L2 to the relationship between provinces and cities, then the idea of Based Rollup is like having the mayor (L2 builder) also serve as the deputy governor (L1 seeker), essentially mobilizing L1 resources to ensure the security of L2.

A certain L2 project has been a year since its token generation event, and its token unlocking is about to begin. During this year, the project has also brewed a new concept called Based Booster Rollup (BBR).

Booster Rollup can also serve as a mirror of L1, and this idea is equally intriguing. Due to space limitations, an in-depth analysis of Booster Rollup will be elaborated in future articles.