Decentralized Sequencer and Verifier: Enhancing Security and Performance

Decentralized Sequencer

Sequencers are pivotal to the functionality of a Layer 2 network. The failure of a single sequencer can disrupt the entire transaction processing system, severely affecting network operations. While users can submit Layer 2 transactions directly to Layer 1 as a fallback, this method could be more optimal, leading to prolonged transaction finalization times and a degraded user experience, especially for time-sensitive transactions. Centralized sequencers present a range of risks, including the potential for transaction censorship, acting as single points of failure, and enabling harmful Miner Extractable Value (MEV) scenarios. Ruby Chain tackles these issues by introducing a dual-stake model to establish a resilient, high-speed decentralized sequencer network. This innovative model utilizes the RUBY token alongside restaked ETH from EigenLayer, significantly enhancing network security. Participants can engage by operating a node or staking with their chosen Autonomous Validation Services (AVS) operators to earn a share of the network rewards, thereby fostering a resilient and decentralized ecosystem.

Decentralized Verifier

The security of Optimistic rollups is ensured by the presence of at least one honest entity. This entity verifies the accuracy of state claims made by rollup operators on Ethereum. This verification process is crucial as it ensures that state transitions are correctly executed across transaction sequences, maintaining consistency with the previously verified state.

Ruby Chain has developed a decentralized verification network that rigorously checks and challenges the rollup's state using the same dual-stake model as the sequencer network. Users can participate by setting up a node or staking with their preferred node operators, contributing to the network's integrity and earning rewards.

By decentralizing both the sequencer and verifier roles, Ruby Chain enhances the security, reliability, and efficiency of its Layer 2 network, providing a robust infrastructure for the next generation of blockchain applications.