Based Rollups

Definition ∞ Based Rollups are a type of Layer 2 scaling solution that derives its security directly from the underlying Layer 1 blockchain, often Ethereum. These rollups process transactions off-chain and then submit a compressed record to the main chain, leveraging the Layer 1 for data availability and finality. The “based” aspect refers to their reliance on the Layer 1’s consensus mechanism for validity and integrity. This architecture significantly improves transaction throughput and reduces fees compared to direct Layer 1 operations.
Context ∞ Based rollups are a focal point in discussions about blockchain scalability and the future evolution of decentralized applications. News reports frequently highlight their potential to alleviate network congestion on foundational blockchains, making digital interactions more accessible and cost-effective. Ongoing developments in rollup technology, including new implementations and interoperability solutions, are regularly featured as critical advancements for the broader crypto ecosystem.