Celo Embraces Optimism's OP Stack for Ethereum Layer 2 Move

Celo blockchain's development team, cLabs, proposes utilizing Optimism's OP Stack for a transition from a standalone blockchain to an Ethereum-based layer 2 network. This decision, resulting from an eight-month evaluation process, aims to enhance liquidity sharing, improve security, and simplify developer experiences by eliminating compatibility monitoring. The choice of OP Stack, known for its compatibility with components from other layer 2 teams, aligns with Celo's mission to promote user experience and accessibility for mobile-first users and stable asset utilization in emerging markets.

Celo Embraces Optimism's OP Stack for Layer 2 Transition

In a significant development, cLabs, the team responsible for developing the Celo blockchain, has formally proposed adopting Optimism's OP Stack as the foundation for its transition from a standalone blockchain to an Ethereum-based layer 2 network.

This proposal, the culmination of an exhaustive eight-month evaluation process, will be subjected to extensive community consultation before being presented to CELO token holders for a formal vote, in accordance with the governance rules governing the network.

The decision to migrate to a layer 2 solution aligns with Celo's strategic belief that its future growth lies within the broader Ethereum ecosystem rather than as an independent chain. The rigorous selection process, characterized by cLabs co-founder and Celo Foundation president Rene Reinsberg as a "bake-off" among prominent layer 2 providers, involved the тщательное рассмотрение proposals from OP Stack, Arbitrum Orbit, zkSync's ZK Stack, and Polygon CDK.

The proposed transition to an Ethereum layer-2 solution via Optimism's OP Stack aims to simplify liquidity sharing between Celo and Ethereum, enhance security, and significantly improve the developer experience. By leveraging the OP stack, the proposal eliminates the need for compatibility monitoring, enabling Celo developers to seamlessly utilize Ethereum tooling.

Key design elements of the proposal include a decentralized sequencer powered by Celo's existing validator set and the integration of off-chain data availability solutions such as EigenDA.

cLabs' extensive evaluation concluded that OP Stack most effectively aligned with their requirements, offering the additional advantage of potential compatibility with components from other layer 2 teams, including Polygon's Type 1 prover. Reinsberg emphasized the rigour of the due diligence process, stating, "[we] didn't just make a decision last year, but did all this due diligence."

The selection of OP Stack aligns with its growing popularity among blockchain projects, as evidenced by Coinbase's recent adoption of the technology for its layer 2 chain, Base, and Worldcoin's plans for a layer 2 called World Chain, also built on OP Stack.

Ryan Wyatt, chief growth officer at the Optimism Foundation, lauded Celo's comprehensive evaluation process, stating, "It's super cool to actually see them [Celo] be keen on OP Stack, do deep due diligence and look at all these chains."

Celo's transition to an Ethereum layer 2 is part of its overarching mission to address user experience challenges in the cryptocurrency space, particularly the complexities associated with public keys. By substituting public keys with mobile phone numbers, Celo aims to enhance accessibility for newcomers to the realm of cryptocurrency. Additionally, the platform offers a suite of stable assets, with a focus on emerging markets, to facilitate practical use cases such as remittances, savings, lending, and cross-border payments.

As Celo embarks on its transition to an Ethereum layer 2 utilizing Optimism's OP Stack, the project is well-positioned to leverage the strengths of the Ethereum ecosystem while preserving its focus on mobile-first accessibility and stable assets for users in emerging markets.