RIP-7759: Layer 2 Transaction Fee Specification

RIPs
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1 Introduction

The L2 WG is an open-source initiative with a scope to

  • Identify and document the most relevant use cases and business requirements for Layer 2 and other Blockchain Scalability solutions for EVM-compatible public blockchains

  • Define a technical standard with identification and differentiation of classes of scalability solutions as required that meet both ecosystem and enterprise requirements, with a particular focus on interoperability between Layer 2 solutions for EVM-compatible public blockchains

  • For EVM-compatible public blockchains, identify, document, and devise solution approaches for Layer 2 Blockchain scalability solution-specific challenges such as MEV, block (gas) limits, TVL concentration, etc.

  • Identify and document characteristics of Layer 2 Blockchain environments for EVM-compatible public blockchains that will be key in addressing mainstream and enterprise adoption.

The work is an Ethereum Community Project, which is managed by OASIS.

1.1 Overview

Layer 2 (L2) Transaction Fees are a crucial element of financing the operations of L2 platforms apart from rewards given to participants for providing economic security guarantees such as validators in consensus protocols. Yet how these transaction fees are derived, to whom they are paid, how and where they are displayed to any of the participants in L2 platforms varies greatly between L2 platforms.

Given the above, the need for transparency in an open ecosystem to build trust, and the evolving legal and regulatory landscape around fee transparency and what type of fees can be charged, this document sets out to define the different types of L2 transaction fees and then define requirements around transaction fee transparency for L2 platforms.

Note, that fees associated with asset and data bridges between L2 platforms as well as between L2 platforms and centralized exchanges are beyond the scope of this document.

The standard is an Ethereum Open Community Project specification draft (PSD)

Please, review and comment on the RIP once published as a draft!