Vitalik Buterin: “Stage 1 or Bust” for Layer-2 Decentralization

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Ethereum’s co-founder draws a firm line in the sand for L2 networks—only those with real decentralization progress make the cut.

Vitalik Buterin, Ethereum’s visionary co-founder, has once again made his position on Ethereum scaling clear. In a Twitter (X) post on September 12, Buterin made it known that when it comes to Layer-2 (L2) scaling solutions, he is holding them to a high standard. From now on, he will only engage with L2 projects that meet stage 1 on his decentralization scale—and he’s not backing down.

For Buterin, it’s no longer about promising potential or theoretical progress. If a Layer-2 solution doesn’t reach the minimum requirements of stage 1, it’s not worth his attention. Full stop. He took to X (formerly Twitter) to reaffirm his stance, stating that starting in 2025, he will only publicly acknowledge projects that are at least “stage 1+.”

The Decentralization Bar Just Got Higher

Buterin’s firm stance is rooted in his vision for the future of Ethereum scalability: decentralized and trustless. In the post, he noted that there might be a brief “grace period” for new projects that have the potential to evolve into something truly groundbreaking, but make no mistake—it’s stage 1 or bust. Buterin added that this was not about friendships or personal investments, emphasizing that his commitment to decentralization is non-negotiable.

“It doesn’t matter if I invested, or if you’re my friend; stage 1 or bust,” he tweeted.

One of the biggest areas where Buterin sees L2s evolving is in the realm of zero-knowledge rollups (zk-rollups). According to him, many zk-rollup teams have informed him that they’re on track to hit stage 1 by the end of 2024. This has him excited, as it signals the end of what he calls the “era of rollups being glorified multisigs.” He’s ready for the next phase: the era of cryptographic trust.

The Roadmap to Decentralization: From “Training Wheels” to Full Trustlessness

Buterin’s view of L2 decentralization is guided by a framework he introduced back in 2022. He laid out a three-stage model for how rollup projects can evolve toward decentralization. The first stage represents a significant milestone in a project’s journey, signaling that the platform is not just functional but also beginning to take decentralization seriously.

Here’s a breakdown of what each stage means:

Stage 0 – “Full Training Wheels”

At this stage, a project self-identifies as a rollup, with all transactions on-chain and user withdrawals functioning without operator interference. However, this is still a baby step in decentralization—there’s no fraud-proof or validity-proof mechanism, and a simple multisignature wallet controls the system. It’s essentially a testing ground with “training wheels” for rollup projects, but with significant reliance on centralized authority.

Stage 1 – The Minimum Standard for Acknowledgment

Buterin has made it clear that stage 1 is the minimum standard for Layer-2 solutions to gain his approval. At this stage, L2s must have active fraud-proof or validity-proof mechanisms in place. Additionally, they need a security council in place (essentially a multi-signature-based override system), though it comes with strict conditions. Specifically, at least 6 of 8 signatures must be required to approve any action. The council must also be external to the rollup organization, ensuring greater decentralization. Finally, upgrades to the system should require a seven-day delay before activation, allowing enough time for oversight and scrutiny.

Stage 2 – No More Training Wheels

The ultimate goal for any rollup project is to reach stage 2, where decentralization is fully realized. At this point, no single group has control over the code output, and if the code is bug-free, it cannot be overridden. Security councils would only be allowed in clear cases of bugs, and even then, there would be a 30-day delay for any upgrades to be implemented. Stage 2 represents the ideal of full decentralization, where no one entity has ultimate control.

Will Rollups Reach Stage 2 Anytime Soon?

According to several teams working on prominent Layer-2 rollups—including ZKsync, Arbitrum, Optimism, and Linea—they believe full decentralization (stage 2) could be a reality within a few years. However, Buterin has made it clear that progress must be tangible. As he sees it, the move away from centralized trust models (like multisigs) toward a system that relies on cryptographic proof and collective oversight is non-negotiable for the long-term success and security of Ethereum’s scaling.

These goals may seem ambitious, but Buterin’s vision is clear: Ethereum is not just about scaling for scalability’s sake. It’s about creating a future-proof, decentralized ecosystem where trust is algorithmic, not human. If Layer-2 projects want to play a role in Ethereum’s future, they need to demonstrate that they can achieve this vision.

Why It Matters

Buterin’s stance is part of a broader push for trustless scalability, one of the key challenges facing blockchain networks today. Ethereum, with its shift to proof-of-stake and growing reliance on Layer-2 solutions for scaling, needs to ensure that these solutions don’t compromise on decentralization. Buterin’s firm “stage 1 or bust” philosophy serves as a reminder that scaling shouldn’t come at the expense of Ethereum’s core principles of decentralization, security, and trustlessness.

As Ethereum continues to evolve, all eyes will be on how quickly Layer-2 projects can meet these rigorous decentralization standards—and whether they can live up to the vision set by Buterin and the broader Ethereum community.

In the world of Ethereum scaling, it’s clear: the bar has been raised. If Layer-2 solutions are to succeed, they’ll need to meet the high expectations set by one of blockchain’s leading minds. And for Vitalik, it’s all about stage 1—or nothing at all.

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