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Key Points
Scroll is a scaling solution that processes transactions outside of the Ethereum main chain to reduce congestion and speed up the network for users even during peak times.
With zk-rollup technology, Scroll can lower Ethereum gas fees, making DApp and DeFi services more affordable and accessible to users.
Scroll integrates seamlessly with Ethereum, allowing developers to use existing tools and smart contracts without having to completely rewrite their code.
Introduction
If you’ve ever used Ethereum, you’ve probably noticed that the network can be a bit slow and expensive during times of high demand. As more people turn to the Ethereum network to use decentralized applications (DApps), the network is more likely to become congested, resulting in higher fees and slower transaction speeds. This is where Scroll comes in.
Scroll is a project designed to make Ethereum faster, cheaper, and more efficient without sacrificing the security and decentralization that makes Ethereum special. Let’s dive into Scroll and its scaling solutions.
What is Scroll (SCR)?
Scroll is a Layer 2 scaling solution designed specifically for Ethereum. Simply put, Scroll is a technology that works on top of the Ethereum mainnet (Layer 1) to make everything run smoother. One of the main components of Scroll is a cryptographic technique called zero-knowledge rollup (zk-rollup) which is a breakthrough in terms of speeding up transactions while keeping them secure.
With Scroll, transactions are processed off the Ethereum main chain, which helps avoid congestion. Then, the critical data is sent back to Ethereum’s Layer 1 to make sure everything is in order. This means you can still use all the cool DApps and tools on Ethereum, but without paying high fees or waiting for lengthy confirmations.
Why Does Ethereum Need Scroll?
Ethereum can be thought of as a busy highway. When too many people try to use it at once, Ethereum will slow down and the cost of using it (gas fees) will go up. As we know, no one likes paying high fees, especially when you’re just trying to send crypto to a friend or use a DApp.
Ethereum developers are working hard to find a solution to fix this, but the network’s focus on security and decentralization makes it difficult to scale. This is where Layer 2 solutions like Scroll come in—they help shift some of the burden off the Ethereum mainnet while still maintaining its security and decentralization.
How Does Scroll Work?
Rollup basics
As we’ve learned, rollups are a clever way to process a bunch of transactions off the Ethereum mainnet (off-chain), then send a summary of those transactions back to Layer 1 for approval. The process is like sending a group text to save time instead of messaging people one by one.
There are two types of rollups: optimistic rollup and zero-knowledge rollup (zk-rollup). Rollup uses zk-rollup which comes with extra security. This rollup uses zero-knowledge proofs (ZKP) to guarantee that off-chain transactions are processed correctly. This way, Ethereum doesn't have to double-check everything, making the whole process much faster and cheaper.
Scroll's three-layer architecture
The Scroll System has three main parts:
Settlement layer: This is Ethereum itself. Scroll uses Ethereum’s Layer 1 for things like data availability and verifying zk-rollup proofs. Essentially, Ethereum acts as the final arbiter that confirms that everything is legitimate.
Sorting layer: Here, Scroll processes and organizes transactions. It groups transactions into batches, then sends the info back to Ethereum for storage and verification.
Proof layer: This is where the zk-rollup magic happens. A group of computers (called provers) work together to produce a zero-knowledge proof that the transaction was handled correctly. This layer ensures everything is secure and ready for Ethereum approval.
Zero-Knowledge Ethereum Virtual Machine (zkEVM)
One of the coolest parts of Scroll is the zkEVM (short for zero-knowledge Ethereum Virtual Machine). This sounds complicated, but basically Scroll can run Ethereum-like transactions using zk-rollups without changing the way Ethereum works. Developers don’t have to rewrite their code or create new tools to use Scroll, which is a huge plus.
zkEVM allows Scroll to remain 100% compatible with Ethereum, making it easier for developers to deploy and migrate their DApps to this faster and more efficient system.
How Transactions Work in Scroll
Transactions on Scroll go through several important stages to ensure everything runs smoothly:
Confirmed: First, a user sends a transaction to the Ethereum mainnet (Layer 1) or directly to Scroll (Layer 2). Once the transaction is executed and added to a block, it is considered confirmed.
Allocated: Confirmed transactions are then combined into a single batch. This batch is sent to the Ethereum mainnet which ensures that the data is recorded correctly.
Finalized: Finally, Scroll creates a proof of validity (thanks to the zero-knowledge rollup we discussed earlier), and sends it to Ethereum. Once Ethereum verifies this proof, the transaction is final. That’s it! Your transaction is now part of the official Ethereum blockchain without causing any slowdowns.
Advantages of Scroll
1. Better scalability
By processing transactions off-chain, Scroll significantly increases the number of transactions that Ethereum can handle. This makes the network much faster, which is important as more people start using decentralized applications (DApps) on Ethereum.
2. Lower transaction costs.
Scroll benefits your crypto wallet. Because it can batch transactions and use zk-rollups, the cost of using Ethereum goes down. This makes using DApps and transferring crypto much more affordable.
3. Security remains strong
Even though transactions are processed off-chain, Scroll uses advanced zk-rollups to ensure that everything is secure and trustworthy. You don’t have to worry about the security of your transactions—Scroll is designed to keep them as secure as if they were processed directly on Ethereum.
4. Compatible with Ethereum
Scroll doesn’t require developers to change the way they build DApps. Its zkEVM ensures full compatibility with existing Ethereum infrastructure. This means developers can easily start using Scroll without having to learn a completely new system.
Token SCR
The SCR token is designed to be an essential part of the Scroll ecosystem. Here are some of the main uses of the SCR token:
Governance: By holding SCR tokens, you can influence the development of Scroll. SCR holders can vote on important decisions, from protocol updates to how the network operates.
Network support: Scroll relies on two important groups: provers and sequencers. They keep everything working behind the scenes, verifying transactions and organizing them into blocks. The SCR token is used as a reward for their efforts in helping to keep everything decentralized and secure.
Staking: Users and validators can stake SCR tokens to help secure the network and earn rewards. These incentives are essential to keeping the Scroll network secure and functional.
Cover
Scroll (SCR) is an innovative Layer 2 scaling solution that addresses Ethereum’s scalability challenges by leveraging zero-knowledge rollups. By increasing transaction throughput, reducing fees, and maintaining compatibility with the Ethereum ecosystem, Scroll makes interacting with the Ethereum blockchain easier and cheaper for users and developers.
As Ethereum grows, projects like Scroll will be critical in ensuring the network can handle the increasing demand for decentralized applications and services.
Further Reading
What Is Zero-knowledge Proof and How Does It Impact Blockchain?
Optimistic vs. Zero-Knowledge Rollup: What's the Difference?
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