Rollups Unlock Ethereum's Scalability Potential

Ethereum's scalability issue has long been a point of contention for developers and users. The base layer can process only about 15 transactions per second, which is far slower than many other blockchain projects. To address this problem, researchers have developed a technology called rollups.

Rollups essentially move transaction execution off the Ethereum mainnet and onto a separate chain that can process transactions much faster. This new chain handles the day-to-day transactions, while Ethereum serves as a data availability and verification layer. The base chain stops doing the work and starts checking the work.

This approach sidesteps the 'blockchain trilemma,' which states that improving one aspect of a blockchain - such as throughput - requires sacrificing another, like decentralization or security. Rollups separate execution from verification, allowing Ethereum to maintain its security and decentralization while achieving high throughput.