Rollup
Also known as: Layer 2 Scaling, Rollup Chain, Off-Chain Batch Processing
A Layer 2 scaling solution that executes transactions off-chain and posts compressed data to the base blockchain.
Rollups are Layer 2 scaling technologies that process transactions outside the main blockchain and post only minimal, compressed data back on-chain. This dramatically reduces transaction costs and increases throughput while inheriting the security of the underlying Layer 1, like Ethereum. There are two primary types: Optimistic Rollups, which assume transactions are valid unless challenged, and ZK-Rollups, which use cryptographic proofs for immediate verification. Rollups are foundational to Ethereum’s scalability roadmap and are widely used in DeFi and gaming. Examples include Arbitrum, Optimism, zkSync, and Starknet.