Ethereum founder Vitalik Buterin has made it clear that Validium is a better choice than Rollups for many decentralized applications (Dapps) because the decentralized data availability layer can also ensure network security.
The biggest narrative for the second-largest public blockchain, Ethereum (ETH), in 2024 is the upcoming upgrade in Cancun, which will introduce the EIP-4844 improvement proposal that directly addresses Ethereum Layer 2 scalability solutions. This has sparked discussions on topics such as Rollups, modularity, and data availability layers.
Yesterday (16th), the definition and legitimacy of Rollups were once again brought up. Daniel Wang, CEO of the zkEVM project Taiko, posted on social platform X, stating:
“Rollups are a scalability solution for Ethereum Layer 2 that does not use ETH as the data availability layer, while Validium is a better choice for many blockchain applications.”
Vitalik Buterin, the founder of Ethereum, also expressed his agreement with this viewpoint and stated that Validium is the correct choice for many blockchain applications.
Validium is a scalability solution for Ethereum Layer 2 that can be understood as a ZKRollup without using ETH as the data availability layer.
Vitalik stated in his tweet that the core of Rollups is unconditional security guarantees, allowing users to securely withdraw their assets even if others collude. However, if the data availability layer depends on external systems, it cannot fully protect user assets, and in that case, the network should belong to Validium. Validium sacrifices decentralization but can ensure the normal operation of the system by utilizing a decentralized data availability layer, thereby increasing network integrity.
It is worth noting that although Rollups are currently the main focus of Ethereum’s roadmap, not Validium, Vitalik’s viewpoint expressed yesterday also shows that he does not exclude Validium. On the contrary, he pointed out that Validium is the correct choice for many blockchain applications because adopting a well-distributed data availability layer system can also enhance Validium’s security.
Different features of Layer 2:
Ethereum Layer 2 networks have different types of systems with the following main features:
Rollup:
Utilizes fraud proofs or ZK-SNARK verification computations and can bring assets back to the Ethereum mainnet at any time.
Validium:
Utilizes ZK-SNARKs and verifies computations using data stored on servers or other independent systems, but data availability failures may lead to asset losses.
Disconnected:
Has an independent chain with lower costs.
Read more:
Vitalik’s full discussion on Layer 2 scalability: The trade-off between Rollups and Validiums.
Related Reports
Why is Bitcoin’s Layer 2 ecosystem “irreplicable” for Ethereum’s diverse gameplay?
Refuting Vitalik’s proposal to increase Ethereum Gas: ETH developers highlight three potential risks.
“When will the Ethereum spot ETF be approved?” 52% of the survey respondents are optimistic about before the end of 2024; TD Cowen, JPMorgan: Approval won’t come soon.