Research Summary
The report discusses the rise of Rollups-as-a-Service (RaaS) providers in the Ethereum scaling universe. It explores the different types of rollup solutions, the role of RaaS providers, and the options available to developers for deploying decentralized applications. The report also highlights key players in the RaaS space, including Conduit, AltLayer, Caldera, Gelato, and Lumoz, and their unique offerings. It further delves into the challenges and considerations in deploying rollups and the potential future developments in the RaaS market.
Key Takeaways
Rollups Dominate Ethereum Scaling Universe
- Popularity of Rollups: Rollups are the most popular types of Ethereum Layer-2 scaling solutions, with eight out of ten of the top Ethereum scaling solutions being rollups. They offer flexibility in dApp design and specifications, inherit security from the settlement layer, and avoid competition for limited blockspace.
- Role of RaaS Providers: RaaS providers help users deploy and maintain their own rollups, offering solutions and services such as rollup management and no-code deployment. They can capture value from fees associated with rollup launches and by charging a percentage of the total sequencer fees generated by the rollup.
- Key Players in RaaS Space: Major RaaS providers include Conduit, AltLayer, Caldera, Gelato, and Lumoz. Each offers unique services and solutions, with some focusing on specific rollup technologies and others having a broader approach.
- Deployment Options for Developers: Developers have four options when deciding where to deploy their decentralized applications: deploying on an existing Layer-1 blockchain, deploying on a Layer-2 solution, deploying on an application-specific blockchain, or deploying on their own rollup. Each option has its own advantages and considerations.
- Future Developments in RaaS Market: The increasing popularity of RaaS solutions is leading to more dApps launching their own rollups. Developments like EIP-4844 and data availability layers like Celestia, EigenDA, and Avail have the potential to significantly reduce rollup fees on Ethereum. Existing rollup frameworks may create their own RaaS solutions or acquire existing RaaS providers to expand their offerings.
Actionable Insights
- Explore the Potential of Rollups: With the rise of rollups as a popular Ethereum scaling solution, developers and businesses should explore the potential of deploying their own rollups. This can offer flexibility in dApp design, enhanced security, and avoidance of competition for limited blockspace.
- Consider RaaS Providers: RaaS providers offer valuable services for deploying and maintaining rollups. Businesses lacking dedicated teams to manage rollups can benefit from these services, which can reduce the burden and expand the range of products that can be built.
- Stay Updated on Market Developments: The RaaS market is rapidly evolving, with new developments and innovations expected. Staying updated on these changes can help businesses make informed decisions about deploying rollups and choosing the right RaaS provider.
- Understand the Implications of Deployment Options: Developers should carefully consider the implications of different deployment options for their dApps. Each option has its own advantages and considerations, and the right choice depends on the specific needs and circumstances of the dApp.
