A Decentralized Sequencer is a component within a blockchain scaling solution, typically a layer-2 rollup, responsible for ordering and batching transactions without relying on a single centralized entity. This mechanism helps to maintain the censorship resistance and fairness of transaction processing. It distributes the power to determine transaction order among multiple independent participants. This design enhances the integrity of transaction execution.
Context
The development of decentralized sequencers is a key area of research and implementation for improving the security and reliability of layer-2 networks. The primary discussion involves preventing malicious transaction reordering or censorship by a single operator. Future innovations aim to achieve robust liveness and fault tolerance, thereby reducing the risks associated with centralized sequencing in rollup architectures. This progress is essential for the long-term viability of layer-2 solutions.
Set Byzantine Consensus introduces a decentralized "arranger" for rollups, fundamentally solving the single-node sequencer bottleneck and enhancing censorship resistance.
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