Disclaimer: Kaspa could adopt both of the options listed below and take a dual-strategy approach.
Weighing options and envisioning a future with Rollups.
Smart Contracts
Kaspa is evaluating the adoption of Smart Contracts with the technology known as Rollups (RU), designed to improve the speed and efficiency of blockchain transactions. This involves two potential paths, each with its own implications and challenges.
Option 1
Fully integrate Rollups technology into Kaspa’s existing infrastructure. This approach involves harnessing and creating Kaspa native smart contracts, essentially automated scripts that execute specific actions when certain conditions are met. These smart contracts would function at higher speeds by incorporating rollups, and their execution would be finalized on Kaspa’s platform.
However, this route is not without its challenges. In essence, it would require forking and adapting an existing Rollups codebase. This would be akin to converting a complex software from one programming language to another. It’s a labor-intensive process, but the end result would be a seamless integration of the rollups technology, fully tailor-made for Kaspa’s platform. A potential template for this approach could be Matterlabs’ zkSync. This Rollups project could be a starting point for Kaspa’s own native smart contracts.
Option 2
The other approach is more of a hybrid solution. Here, Kaspa would serve as a sequencing layer, which essentially means it would organize transactions. However, the settlement, or the finalization of those transactions, would still occur on Ethereum.
For this method to work, Kaspa would need to find a modular rollups codebase that can support switching the sequencing layer from Ethereum to Kaspa. This could be a smoother process, as it would only require minor updates to Kaspa’s consensus. Nevertheless, there are downsides to this approach as well. By relying on Ethereum for settlement, Kaspa risks becoming an Ethereum sidechain, which might affect its independence and could mean the bulk of economic activity remains on the Ethereum chain. A potential model for this could be Starkware’s Sharp Shared Prover.
The conversation around Kaspa’s potential adoption of Rollups also touches on the platform’s native smart contracts. If Kaspa fully integrates rollups, the platform could develop its own unique smart contract environment. This would mean that Kaspa’s native smart contracts, explicitly tailored to the platform’s infrastructure, would continue to have a relevant role, complemented by rollups technology’s improved efficiency and speed.
On the other hand, should Kaspa opt for the sequencer role with settlement occurring on Ethereum, it opens up another set of possibilities. In this scenario, Kaspa could fully immerse itself in the established ecosystem of Ethereum. This means Kaspa could recreate Ethereum’s smart contract infrastructure on its platform. Instead, focusing on providing rapid, efficient sequencing of transactions. This would allow Kaspa to tap into Ethereum’s thriving financial applications, potentially accelerating the platform’s ability to offer advanced services.
Also, Kaspa could possibly adopt a dual-strategy approach, integrating elements from both options.
Regardless of the chosen path, each potential integration concept highlights a different facet of Kaspa’s adaptability and readiness for innovation. By incorporating rollups into its system or connecting its operations with the Ethereum network, Kaspa is committed to embracing cutting-edge blockchain technology. Whether through complete integration or a hybrid approach, the move towards rollups underlines Kaspa’s drive to stay at the forefront of blockchain innovation, ready to adapt and evolve with the technology’s ever-changing landscape.
Tip: Rollups, as a Layer 2 solution, enhance the functionality of blockchain networks by facilitating more efficient transaction processing, paving the way for a more complex smart contract that is both trustless and promotes interoperability.