Rollups

Rollups are a blockchain scaling technology that processes transactions off the main layer (Layer 1) and then submits compressed data back to the network. This reduces blockchain congestion, lowering fees and increasing throughput. There are two types of Rollups: ZK-Rollups (which use zero-knowledge proofs for instant finality) and Optimistic Rollups (which assume transactions are valid but allow a challenge period). Both approaches improve blockchain efficiency and speed without compromising security.