Rollup Sequencing Models

Rollup Sequencing Models define how transactions are ordered and submitted to the main chain within a rollup. The sequencer plays a critical role in the performance and fairness of the rollup, as it determines the sequence of trades.

A centralized sequencer can be efficient but introduces a single point of failure and potential for censorship or MEV extraction. Decentralized sequencing models aim to distribute this power among multiple actors, enhancing censorship resistance and fairness.

For derivatives platforms, the choice of sequencing model directly impacts the execution quality and the potential for front-running. Understanding the incentives and governance of the sequencer is crucial for assessing the reliability of the rollup.

This is an active area of research aimed at balancing performance with decentralization.