By Hassan Mehmood (Saudi Arabia)
Coinbase’s layer-2 solution Base has faced some antagonism on account of the speculations concerning its governance model. On this account, Jesse Pollak the protocol head at Coinbase has come forward to defend the position of the layer-2 service named Base.
He has maintained that Base is permissionless and Coinbase does not hold the unilateral authority to impact the reserves on it. Base is hosted on Optimism rollup. He was responding to the remarks made by Martin Kopplemann regarding the lack of fraudulent activity on Base.
However, bringing more clarity on the matter Pollak sharing that Base is a permissionless protocol and Coinbase does not have the sole authority to freeze funds. Base facilitates off-chain functionality for Coinbase to enable faster and cheaper transactions. Since the protocol is hosted on Ethereum network, it utilizes its security features.
However, Pollak has confirmed that Coinbase cannot issue permission as a sole entity to implement upgrades on the network or have any impact on the native transactions such as modification or reversal.
Base’s Protocol Design
Pollak has shared that Base is based on the Optimism software stack that is also called OP stack. The layer-2 solution went live on mainnet last week.
Since its public debut, the protocol has processed $200 million worth of transactions for Coinbase as confirmed by statistics issued by L2Beat. Pollak has maintained that Coinbase cannot include invalid output proposals on the network.
He highlighted that Base architecture prevents the protocol operator to make changes at design level. Thus, he maintained that Coinbase cannot move solely to prevent or edit transactions. The protocol engineer also maintained that Coinbase exchange mandated absence of unilateral upgrades approvals for the protocol.
He revealed that mutli-lateral governance model was a non-negotiable condition for its public launch. At the same time, he talked about the commitment of Coinbase for Base to remain open, decentralized, and open-sourced.
Pollak shared that Base is determined to ingrain more decentralization in the future much like other layer-2 solutions. He also said the same of fault proofs upgrades maintaining that most OP Chains utilize permissioned upgrading and authorization.
He maintained that the development team is still working on the OP Stack to bring more decentralization to incorporate fault proofs and increased security measures.
At present, Coinbase is the only operating sequencer on Base network. On this account, critics have raised concerns regarding the centralization of Base. Nevertheless, most layer-2 solution has the same procedural infrastructure.
Ordered list in a sequencer or specialized node is crucial component of the procedure since it enabled transaction history verification. Pollak is going to publish more details about decentralization of Base with the protocol engineers working to bring more decentralization on the layer-2 protocol.
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