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Key points:
Scroll is a scaling solution that processes transactions outside of the main Ethereum blockchain, reducing congestion and making the network faster for users, even during peak periods.
With the technology of zk-rolls, Scroll is able to lower Ethereum's gas fee, making dApp and DeFi services more accessible to users.
Scroll easily integrates with Ethereum, allowing developers to use its tools and smart contracts without having to completely rewrite their code.
Introduction
If you've ever used Ethereum, you've probably noticed that it can be a bit slow and expensive during times of high demand. As more people come to the Ethereum network to use decentralized applications (dApps), the network will most likely become congested, leading to higher fees and slower transaction speeds. This is where Scroll comes to the rescue.
Scroll is a project designed to make Ethereum faster, cheaper, and more efficient, all without compromising the security and decentralization that make Ethereum special. Let's dive into what Scroll is and its scaling solution.
What is Scroll (SCR)?
Scroll is a layer 2 scaling solution designed specifically for Ethereum. That is, it is a technology that works on top of the main Ethereum network (layer 1) to make the operation smoother. One of Scroll's key components is a cryptographic technique called zero-disclosure rolls (zk-rolls), which is a game-changer to speed up transactions while keeping them secure.
With Scroll, transactions are processed outside of the main Ethereum blockchain, helping to avoid congestion. Important data is then sent back to Ethereum layer 1 to make sure everything is verified. This means you can still use all the cool dApp and tools on Ethereum, but without paying high fees or waiting too long for confirmation.
Why does Ethereum need Scroll?
Let's imagine that Ethereum is a busy highway. When too many people try to use it at the same time, it slows down and the cost of using it (gas commission) increases. As we all know, nobody likes paying high fees, especially when you're just trying to send some cryptocurrency to a friend or using a dApp.
Ethereum developers are working hard on solutions to fix this problem, but the network's focus on security and decentralization makes scaling difficult. This is where layer 2 solutions like Scroll help take the load off the Ethereum mainnet while keeping it secure and decentralized.
How does Scroll work?
Basics of rolls
As we found out, rollups are a smart way to process a bunch of transactions off the main Ethereum network (offchain) and then send a summary of those transactions back to Layer 1 for approval. It's like sending a text message to a group to save time instead of sending messages to individual people.
There are two types of rollups: optimistic rollups and zero-disclosure rollups (zk-rollups). Scroll uses zk-rolls that provide additional protection. These rolaps use zero-disclosure proofs (ZKP) to guarantee correct processing of off-chain transactions. This way, Ethereum doesn't have to double-check everything, making the whole process much faster and cheaper.
Scroll's three-tier architecture
The Scroll system consists of three main parts:
Settlement layer: This is Ethereum itself. Scroll uses Ethereum layer 1 for things like data availability and zk-roll proof verification. Essentially, Ethereum acts as the final arbiter, confirming that everything is legal.
Ordering Layer: This is where Scroll processes and organizes transactions. This layer groups transactions into packets and sends the information back to Ethereum for storage and verification.
Proof Level: This is where the magic of zk-rolls happens. A bunch of computers (called provers) work together to create zero-disclosure proofs that show transactions were processed correctly. This layer ensures that everything is secure and ready to be approved on Ethereum.
Zero Disclosure Ethereum Virtual Machine (zkEVM)
One of the coolest parts of Scroll is its zkEVM (short for zero-knowledge Ethereum Virtual Machine). This sounds complicated, but essentially it means that Scroll can run transactions similar to Ethereum using zk-rolls without changing how Ethereum works. Developers don't have to rewrite their code or create new tools to work with Scroll, which is a big plus.
ZkEVM allows Scroll to remain 100% compatible with Ethereum, making it easier for developers to use and migrate their dApps to this faster and more efficient system.
How transactions work on Scroll
Transactions on Scroll go through several important stages to make sure everything goes smoothly:
Confirmation: First, the user sends a transaction either to the Ethereum mainnet (layer 1) or directly to Scroll (layer 2). Once a transaction is completed and added to a block, it is considered confirmed.
Commit: Confirmed transactions are then bundled. This packet is sent to the Ethereum mainnet, which ensures that the data is properly recorded.
Completion: Finally, Scroll creates a proof of validity (thanks to those zero-disclosure rolls we talked about earlier) and sends it to Ethereum. Once Ethereum verifies this proof, the transaction will be completed. That's it! Your transaction is now part of the official Ethereum blockchain and all without slowing down.
Advantages of Scroll
1. Better scalability
By processing transactions off-chain, Scroll greatly increases the number of transactions Ethereum can process. This makes the network much faster, which is especially important as more and more people start using decentralized applications (dApps) on Ethereum.
2. Lower transaction fees
Scroll is great news for your crypto wallet. Since it can do batch transactions and use zk-rolls, the cost of using Ethereum is reduced. This makes using dApps and transferring cryptocurrency much more accessible.
3. The level of security remains high
Even though transactions are processed off-chain, Scroll uses advanced zk-rolaps to make sure everything is safe and secure. There's no need to worry about the security of your transactions - Scroll is designed to protect them just as if they were processed directly on Ethereum.
4. Compatibility with Ethereum
Scroll doesn't require developers to change the way they build their dApps. Its zkEVM provides full compatibility with the existing Ethereum infrastructure, meaning that developers can easily start using Scroll without having to learn an entirely new system.
SCR Token
SCR tokens are designed as an integral part of the Scroll ecosystem. Here are some of the main uses for the SCR token:
Management: If you have SCR tokens, you can influence the development of Scroll. SCR owners can vote on key decisions, from protocol upgrades to how the network operates.
Network support: Scroll relies on two important groups: provers and sequencers. They make sure everything works behind the scenes by validating transactions and organizing them into blocks. SCR tokens are used to reward their efforts, which helps maintain decentralization and security.
Staking: Users and validators can stake SCR tokens to help secure the network and earn rewards. This is an important incentive to maintain a secure and functional Scroll network.
Results
Scroll (SCR) is an innovative layer 2 scaling solution that addresses Ethereum's scalability challenges using zero-disclosure proofs. By improving transaction throughput, reducing costs, and maintaining compatibility with the Ethereum ecosystem, Scroll makes it easier and cheaper for users and developers to interact with the Ethereum blockchain.
As Ethereum continues to grow, projects like Scroll will be critical to ensuring that the network can handle the growing demand for decentralized applications and services.
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Optimistic and Zero-Disclosure Rollups: What's the Difference?
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