what is the term for a rollup that relies on the assumption that the sequencer processing transactions at layer 2 is honest, and addresses malicious behavior through subsequent penalties?
What is the term for a rollup that relies on the assumption that the sequencer processing transactions at layer 2 is honest, and addresses malicious behavior through subsequent penalties?
Answer:
The term for a rollup that relies on the assumption that the sequencer processing transactions at layer 2 is honest, and addresses malicious behavior through subsequent penalties is called “Optimistic Rollup.” Optimistic Rollup is a Layer 2 scaling solution that allows for more transactions to be processed off-chain before being settled on the Ethereum mainnet. It operates under the assumption that participants will act honestly, but in cases of fraud or malicious behavior, the smart contract can revert transactions and penalize the wrongdoers, ensuring the security and integrity of the network.