I found this paper about Puffer UniFi based rollup (AI generated summary below). It proposes interesting solutions to the well known problems of fragmented liquidity and composability of the actual L2s on Ethereum, like a shared L1 sequencer instead of a centralized L2 sequencer and preconfirmations instead of L2 soft confirmations. I still have to dig deeper about how these things really work, but they seem promising!

What do you think about these solutions?

How do you see the UI/UX evolving on Ethereum if preconfirmations an shared sequencing become widely adopted in the next future?

Below is the AI generated summary of the paper:

Puffer UniFi Litepaper Summary: Based Rollups and Ethereum's Future

Ethereum's Rollup-Centric Challenges

• Fragmentation of liquidity across L2s

• Friction for developers and users

• Potential for rent extraction by centralized sequencers

• Value flowing out of Ether, threatening L1 economic security

Based Rollups: A Solution for Ethereum

Based rollups, like UniFi, address key challenges in Ethereum's ecosystem:

1. **Liveness Guarantees**

• Inherit robust liveness from Ethereum L1

• Transactions processed with L1 reliability

• Quick recovery from potential censorship

1. **Simplicity and Enhanced Security**

• Reuse Ethereum's validator stack and PBS infrastructure

• Reduce protocol complexity and potential vulnerabilities

• Minimize development costs and speed up time-to-market

1. **Economic Alignment with Ethereum L1**

• MEV from based rollup transactions flows to Ethereum validators

• Strengthens Ethereum's economic security as a settlement layer

• Drives value back into Ether

1. **Synchronous Composability**

• Enable interaction with smart contracts across different based rollups within a single transaction

• Eliminate delays, additional costs, and security risks associated with bridges

• Address fragmentation in the Ethereum ecosystem

1. **Preconfirmations (Preconfs)**

• Provide stronger transaction inclusion assurances than soft confirmations

• Offer 100ms confirmation times with robust inclusion guarantees

• Enhance user experience comparable to centralized sequencers

UniFi: Puffer's Based Rollup Implementation

• Flagship based rollup aiming to create a unified ecosystem

• Integrates preconfirmations from Puffer's natively restaked validators

• Introduces unifiETH as a universal gas token, enabling native yield and gasless transactions

Puffer's Based App-Chain Ecosystem Vision

• Encourages development of app-specific chains

• Enables seamless interoperability between based app-chains

• Shifts rollup market dynamics towards a collaborative, positive-sum environment

Impact on Ethereum Ecosystem

1. **Fragmentation Solution**

• Shared liquidity and seamless interaction across based rollups

• Reduce decision-making complexity for developers and users

1. **Enhanced User Experience**

• Fast confirmations (100ms) with strong inclusion guarantees

• Cost-effective transactions through off-chain execution

• Potential for gasless transactions through native yield

1. **Developer Benefits**

• Aligned incentives: capture fees generated by their applications

• Reduced operational complexity: no need for centralized sequencer management

• Ease of deployment: launching a based app-chain as simple as deploying a smart contract

1. **Long-term Sustainability**

• Restore value capture to Ethereum's Layer 1

• Support network's long-term health and viability

• Potential to make based rollups the new standard in the Ethereum ecosystem

Conclusion

Based rollups, as exemplified by UniFi, offer a comprehensive solution to Ethereum's scalability and fragmentation challenges. By addressing key issues such as economic alignment, composability, and user experience, they pave the way for a more unified, efficient, and sustainable Ethereum ecosystem.