In December 2024, the Ethereum blockchain boasts 118 layer-2 scaling solutions, as reported by L2 Beat.
This expanding ecosystem plays a crucial role in the everyday functioning of Ethereum.
However, concerns regarding centralization continue to cast a shadow over its growth.
Decentralized Sequencers and Their Importance
Elena Sinelnikova, the co-founder of Metis L2, strongly advocates for the integration of decentralized sequencers within layer-2 solutions.
Speaking to Cointelegraph, she believes that adopting this model could significantly bolster anti-fragility and enhance resistance against censorship.
Sinelnikova highlighted a pressing issue: many existing layer-2 networks operate under a centralized single sequencer model.
Alarmingly, most users are unaware that they’re relying on these centralized platforms, which are vulnerable to manipulation or potential outages.
She pointed out that, astonishingly, 97% of all Ethereum transactions are processed through layer-2 solutions, even though their initial design failed to prioritize decentralization.
Instead, they frequently function with just one sequencer handling operations.
Trends in Layer-2 Scaling Solutions
The Ethereum Foundation has rolled out several proposals aimed at fostering decentralization by improving interoperability across layer-2 networks.
Sinelnikova argues that the fragmented nature of the current layer-2 landscape is inefficient and advocates for a simpler transition towards decentralized sequencers.
Looking towards 2025, Sinelnikova predicts an ongoing increase in the variety of layer-2 scaling solutions, a trend already seen in recent developments within Ethereum’s ecosystem.
Recent Developments and Growth
In October 2024, Vitalik Buterin, one of Ethereum’s co-founders, introduced ambitious plans dubbed “The Surge,” aiming to elevate the network’s throughput to an impressive 100,000 transactions per second (TPS).
This initiative focuses on boosting interoperability between Ethereum’s base layer and its layer-2 solutions.
A notable surge in activity was observed by November 2024, with daily transactions on layer-2 networks tripling since March of that year.
This spike in usage led to increased fees on the Ethereum base layer and marked a reversal from a period of diminished revenue.
According to L2 Beat, the total value locked (TVL) in Ethereum’s layer-2 solutions reached a remarkable $51.5 billion by November, reflecting a robust year-over-year growth of 205%.
By early December 2024, this number had climbed to over $60 billion, with significant contributions from Arbitrum One and Base, bringing in approximately $21.5 billion and $14.2 billion, respectively, further cementing the success of the layer-2 ecosystem.
Source: Cointelegraph
