Permissioned Sequencer

Definition ∞ A permissioned sequencer is a designated entity or a small group of entities authorized to order and batch transactions before submitting them to a blockchain, typically in a layer-2 scaling solution like a rollup. Unlike decentralized sequencers, these operators are known and often subject to specific rules or regulatory oversight. Their role is to enhance transaction throughput and efficiency by providing a centralized point for transaction ordering.
Context ∞ News about layer-2 solutions often discusses the role of permissioned sequencers in balancing scalability with decentralization, especially concerning potential censorship or single points of failure. A key debate involves the trust assumptions placed on these sequencers and mechanisms to mitigate their power, such as forced withdrawals or decentralized alternatives. Future developments aim to transition permissioned sequencers to more decentralized models over time, reducing reliance on central authorities.