COULD 'BASED ROLLUPS' SOLVE ETHEREUM'S LAYER-2 PROBLEM?

Summary from the TLDR Crypto newsletter

Based rollups aim to address Ethereum's L2 fragmentation by using Ethereum's existing validator set to sequence and confirm transactions instead of relying on centralized sequencers. Based rollups allow near-instant cross-rollup communication within the same Ethereum block. While it promises improved interoperability and security, there are technical challenges around the need to generate proofs quickly, potential MEV exploitation by L1 block proposers, and a lack of incentive alignment for L2s.