Ethereum co-founder Vitalik Buterin has once again reiterated his stance on decentralization in Layer-2 solutions, stating that he will only recognize scaling solutions that are at the “tier 1” level of decentralization.

Buterin said he was “taking the issue seriously” and would only accept layer-2 networks at the “stage 1+” level from next year. He also added that a short transition period could be granted for “really interesting new projects.”

Buterin said, “It doesn’t matter if I invest or if you are my friend, it’s either phase 1 or nothing.” He also said that many zero-knowledge rollup teams have told him that they are “ready to move to phase 1 by the end of the year,” adding that he is eagerly awaiting this development.

What stage is Vitalik Buterin talking about?

The Ethereum founder divides Layer 2 projects into three different phases: phase 0, phase 1, and phase 2.

Projects in Stage 0 are traded as rollups. All transactions in this stage occur on the blockchain, but only a simple multisig wallet controls the project.

Projects in Phase 1 should have an anti-fraud mechanism in place. They should also have a multi-signature override mechanism, such as a “security council.” However, these mechanisms should have strict requirements, such as a minimum of 6/8 signatures, and should be controlled by a group external to the rollup organization. Updates should also have a seven-day latency period.

In Phase 2, if the project is error-free, no group can override the output of the code. Security councils will only have space for open bugs, and a 30-day delay is applied for updates to become active.

Stay tuned for new information.

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