Celo, originally a standalone Layer 1 blockchain, has undergone its transition to become an Ethereum Layer 2 network.
The official transition on the mainnet occurred on Tuesday at around 11 p.m. ET, with the hard fork taking place at block height 31,056,500. Celo L1 block production was halted at this point, and the network fully transitioned to Layer 2.
CLabs, the project's core developer, first proposed Celo's shift from Layer 1 to a Layer 2 chain in July 2023.
The goal was to align more closely with Ethereum, benefiting from its security and vast developer ecosystem while addressing challenges like scalability and interoperability that Celo faced as an independent chain.
The development of the Layer 2 utilized the OP Stack, a customizable toolkit from Optimism. This means that Celo now functions as an optimistic rollup.
This migration aims to leverage Ethereum's security while preserving Celo's low-cost transactions and fast settlement times.
With the completion of Layer 2, Celo has gained native Ethereum bridging. Furthermore, its block times have dropped from 5 seconds to just 1 second.
Celo said its day-one partners include Aave, Fireblocks, Uniswap and Yellowcard, among others.
In the future, Celo's existing validators will act as decentralized sequencers, maintaining its one-block finality.
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