Celo's Layer-2 Move Under Scrutiny: Proposed Review Timeline Mid-January

• Selection Framework for L2 Stack from Celo's Main Developer
• cLabs Invites Community Feedback on the Framework
• Transition to Layer-2 Blockchain Approved by Celo Community
• Shifting Preferences, Intense Competition
• The Importance of Celo's Decision
• Objectives of the Selection Exercise
• No Mention of Rollups Debate
• Urgency to Deliver CEL2

Selection Framework for L2 Stack from Celo's Main Developer

cLabs, the prime developer for the Celo blockchain, has suggested a framework for selecting a tech provider for their new layer-2 network above Ethereum$2,315 -2.42%. They plan to conclude this assessment process by mid-January. This has led to unexpectedly heated competition among some of the leading teams in the blockchain sector.

cLabs Invites Community Feedback on the Framework

The proposed Framework for selecting an L2 stack was made public via cLabs' discussion forum on Wednesday. They have requested community feedback on the document until mid-December and will evaluate the potential contenders over the following month.

Transition to Layer-2 Blockchain Approved by Celo Community

In July, the Celo community gave a nod to the plan of moving to a layer-2 blockchain. This essentially agrees that the project has more probability of flourishing as a part of the rapidly expanding Ethereum ecosystem rather than persisting as an inferior and independent network.

Shifting Preferences, Intense Competition

Initially, cLabs had mentioned OP Stack from the Optimism$3.67 -1.41% ecosystem - the technology supporting Coinbase's new layer-2 network, Base - as the designated provider for its new layer-2 network. However, in the ensuing months, competing teams Polygon$0.967 -3.65% and Matter Labs presented rival proposals intending to win over Celo. Celo currently stands as the 27th largest blockchain in decentralized finance, with a total value locked (TVL) at $102 million.

The Importance of Celo's Decision

Celo's decision has transformed into a remarkably competitive representation due to the teams' efforts to establish dominant layer-2 ecosystems, with the advantages of being the first-mover such as setting industry norms and accumulating liquidity.

Objectives of the Selection Exercise

The purpose of this exercise is not to choose the 'best L2 stack.' It is to determine the most suitable fit for the specific technical and non-technical requirements of the Celo L2 project, cLabs stated. They also highlighted the importance of easy migration with minimal downtime, maintaining low gas fees, and Ethereum compatibility.

No Mention of Rollups Debate

The document does not reference the ongoing discussion between optimistic rollups versus ZK rollups, a crucial design decision that experts believe involves significant tradeoffs between operational cost and speed.

Urgency to Deliver CEL2

The cLabs team expressed a sense of urgency to proceed with the project. This perhaps indicates the fast-paced evolution of the blockchain landscape. Our goal is to deliver CEL2 as soon as possible, reducing implementation risk. We prefer projects that have been audited, deployed, and tested in production, over projects whose designs are still changing or whose implementations are unproven, the proposal stated.

Edited by Jonathan Stoker