Sequencer mechanisms are components in certain blockchain scaling solutions, particularly optimistic rollups, responsible for ordering and batching transactions before submitting them to the mainnet. They play a critical role in increasing transaction throughput and reducing costs. While efficient, sequencers can introduce a degree of centralization, as they control the order of transactions. This aspect impacts censorship resistance and network fairness.
Context
The discussion around sequencer mechanisms frequently addresses the trade-offs between scalability and decentralization in layer-2 solutions. A key debate involves mitigating the potential for censorship or MEV extraction by centralized sequencers. Future developments include decentralizing sequencers through rotating committees or cryptographic techniques. These aim to maintain high performance while aligning more closely with blockchain’s core principles of openness and resistance to censorship.
This research reveals how transaction reverts on rollups are not errors but strategic MEV outcomes, driven by trade-splitting and duplication, demanding protocol reforms.
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