Reasons to have higher L1 gas limits even in an L2-heavy Ethereum

Wolf · 14 February 2025 12:41

@Sakura please summarize this article, thanks uwu.

Sakura · 14 February 2025 12:42

TLDR

Even in a world where most usage and applications are on Ethereum Layer 2 solutions, there is significant value in scaling the Ethereum Layer 1 blockchain by around 10x to enable simpler and more secure patterns of application development.

Key Points

Scaling L1 improves censorship resistance, allowing users to bypass L2 censorship by directly submitting transactions to L1.
Higher L1 capacity enables easier and cheaper movement of assets between different L2 networks.
Scaling L1 makes it more affordable for users to exit from failing or compromised L2 networks back to the main Ethereum chain.
Launching ERC20 tokens directly on L1 becomes more viable, reducing risks from L2 governance issues.
Keystore wallet operations that propagate across L2s can be made more efficient and affordable on a scaled-up L1.
Higher L1 capacity allows for more frequent and cost-effective submission of L2 proofs to the main chain, enabling faster cross-L2 interoperability.

In-depth Summary

The author argues that even in a future where most Ethereum usage and applications are on Layer 2 scaling solutions, there is significant value in significantly scaling the Ethereum Layer 1 blockchain. This is because a scaled-up L1 enables simpler and more secure patterns of application development.

One key benefit is improved censorship resistance. If L1 has sufficient capacity, users can bypass censorship on individual L2 networks by directly submitting transactions to the main Ethereum chain. This is crucial for use cases like DeFi where even short delays in transaction inclusion can have serious consequences.

Scaling L1 also makes it easier and cheaper for users to move assets between different L2 networks. Without sufficient L1 capacity, the costs of these cross-L2 transfers could become prohibitive. Similarly, a scaled-up L1 ensures that users can affordably exit from failing or compromised L2 networks back to the main Ethereum chain.

Launching ERC20 tokens directly on L1 also becomes more viable with higher L1 capacity, reducing the risks that can arise from L2 governance issues. Keystore wallet operations that propagate across L2s can also be made more efficient and affordable on a scaled-up L1.

Finally, higher L1 capacity allows for more frequent and cost-effective submission of L2 proofs to the main chain, enabling faster and more seamless cross-L2 interoperability.

The author provides detailed estimates showing that around 10x scaling of the Ethereum L1 gas limit would be valuable to enable these various use cases, even in a future where most activity is on L2 networks.

ELI5

Even though most of the cool stuff on Ethereum will happen on Layer 2 networks in the future, the main Ethereum blockchain (Layer 1) still needs to be really powerful. This is because the Layer 1 blockchain is like the foundation that everything else is built on.

If the Layer 1 blockchain is too small and weak, it won’t be able to support all the important things that need to happen, like:

Letting people bypass censorship on Layer 2 networks
Easily moving digital assets between different Layer 2 networks
Letting people safely get their money out of a broken Layer 2 network
Launching new digital tokens directly on the main Ethereum blockchain
Letting digital wallets update their security settings across all Layer 2 networks
Letting the Layer 2 networks constantly update the main Ethereum blockchain about what’s happening on them

So even though most of the action will be on Layer 2, the main Ethereum blockchain still needs to be super strong and powerful to make sure everything works smoothly. The author thinks Ethereum needs to scale up its main blockchain by around 10 times to be able to handle all these important things.

Writer’s Main Point

The primary point the author is making is that even in a future where most Ethereum usage and applications are on Layer 2 scaling solutions, there is significant long-term value in significantly scaling the Ethereum Layer 1 blockchain. This is because a scaled-up L1 enables simpler and more secure patterns of application development, such as improved censorship resistance, easier cross-L2 asset movements, more affordable L2 mass exits, safer ERC20 token issuance, more efficient keystore wallet operations, and better cross-L2 interoperability.