The announcement of a Fault-proof system by Optimism landed on OP Sepolia
Fault-proof measures are the security measures comprehended for valid transactions on rollups, which are now conducted on OP Sepolia. It is the final testing area before the mainnet.
These measures were also previously considered fraud proofs primarily used to direct transaction permissibility. These optimistic rollups are optimistic in the transaction process, while zero-knowledge rollups show whether a transaction is accurate or inaccurate. Optimistic rollup thus carries the meaning of valid transactions without proving its validity.
These rollups are made to resolve blockchain trilemma, suggesting the design of a layer 1 network between scalability, security, and decentralization. Blockchain, in this context, offers two elements at one time, as suggested by the co-founder of Ethereum, Vitalik Buterin. Optimistic rollups such as Optimism and Arbitrum focused on processing transactions off-chain. After this, the data was posted back on Ethereum as “calldata”. Usage of such rollups has increased in recent days, over the past two years, with Optimism and Arbutin, which are involved in handling more transactions than mainnet Ethereum.
To make the chain safe, optimistic rollups aim to contribute a time window accessible for everyone considering the transaction state. It is a critical tool for ensuring network security. As a result, it appeared as a significant measure to safeguard false activities on the blockchain. It is a revolutionary parameter in the Ethereum ecosystem to reduce transaction fees and make it more scalable in providing solutions.
However, it is reported that Optimism currently does not have a fault-proof system. Still, it relies on a seven-day window challenge during the system upgrade to determine whether fraud activity has been noticed. This upgrade system is primarily managed by 2-of-2 nested multi-sig while the Optimism Foundation has 5 to 7 multisig. In October 2023, Optimism first announced its fault-proof system. It launched a three-component system, including a fault-proof program (FPP), a dispute game protocol, and a fault-proof virtual machine (FPVM) in the OP Goerli testnet. The iteration in this system has focused on output bisection, incentive compatibility, and preimage proposals. The bond incentives are aimed at making accurate for conducting normal operations and provide incentives for honest challengers.
This latest testnet introduces permissionless validation by launching on OP Sepolia, which allows anonymous participation in this system without an allowlist. It suggests that without the involvement of any trustable third party, withdrawal of ERC-20 and ETH tokens can be conducted. Therefore, invalid withdrawals can be challenging; any user willing to participate in this protocol can remove it.
OP Labs CEO Karl Floersch told Blockworks in an interview, “The goal of what we’re doing is that we’re drawing the fastest path to decentralization… And the prerequisite for that is multiple fault-proof implementations.”
A path towards decentralization can be achieved through fault-proof by transitioning information between layers 1 and 2. This fault-proof system of OP is open-sourced, where a bug bounty will be placed, enhancing a secure future in the crypto ecosystem.
