A prominent decentralized forum cLabs has recently sent a proposal to Celo (a worldwide payment infrastructure provider). The proposal is focused on the transition of Celo into an Ethereum-based L2. Formerly, it was operating as an autonomous EVM-compatible layer 1. The transition adopts OP Stack in the form of the architecture, run by the node operators on Ethereum. In addition to this, it is protected by restaked ETH tokens.
Celo Receives a Proposal from cLabs that Attempts Transforming It into an L2 Based on Ethereum
Celo informed the community about this proposal to its community in a blog post published by it on its official website. As per the platform, the respective proposal was made after a research of several months and some discussions done between community members of Ethereum and Celo. It added that the proposal details an architecture in which the Celo blockchain primarily takes benefits from the OP Stack to turn into an Ethereum L2.
The chief differentiators in this respect take into account the decentralized sequencer run by the present validator set that operates Byzantine Fault Tolerance consensus. Another improvement takes into account the layer for the availability of the off-chain data. It is powered by EigenDA and EigenLayer secured by restaked ETH tokens and run by node operators on Ethereum.
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Moreover, EigenDA provides the danksharding structure to the Ethereum ecosystem early. This also lets it maintain its decreased fees. Apart from that, the proposal also includes a structure that retains the 1-block finality. The platform moved on to say that the respective transition is a technical upgrade and would not affect the mission of the Celo ecosystem to develop prosperity-related conditions for all.
The Proposal Offers Several Developments for the Developers
The proposed change will also assist Celo in continuing the promotion of a community that is financially inclusive. Simultaneously, Celo will also have the potential to increase the span of its blockchain. Particularly, the chief advantages of the migration to layer 2 take into account an increase in the EVM compatibility and Ethereum alignment. This will pave the way for an unparalleled developer experience.
Furthermore, the development will enable more resilient security assurances as compared with those provided by Celo individually. The development will also include a trustless bridge to the ecosystem of Ethereum. This will simplify the sharing of liquidity between Ethereum and Celo.