Swell Chooses OP Stack Over Polygon CDK for Layer 2 Development

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Liquid restaking protocol Swell has had a change of plans and has gone back on its earlier decision to use the Polygon chain development kit (CDK) to develop a Layer 2 chain. Instead, it has decided to join Optimism’s Superchain ecosystem after launching an optimistic rollup on the OP Stack.

Sharing the update, the project noted that it has not stopped believing in Polygon. However, the latest move simply suits its immediate ambitions more, Swell insisted. Part of the announcement reads:

“As part of this strategic transition, Swell will move away from the Polygon CDK but continues to believe in the aggregated ecosystem that Polygon is building.”

Swell to Become The Latest Layer 2 on Optimism Superchain Ecosystem

Having partnered with OP Labs, preparations are well in motion for Swell to enter the Superchain ecosystem of Layer 2 rollups. This means that the project will soon join the likes of Coinbase’s Base, Zora, Kraken’s Ink, Mode, SNAXchain, and many others.

For now, the Layer 2 remains a work in progress, and expectations are that a testnet will soon launch.As is common with chains within the Optimism Superchain ecosystem, Swell’s OP chain will also employ optimistic rollups on top of Ethereum.

The aim is to reduce transaction costs for decentralized applications.Swell’s new chain will also adopt ETH as its gas token instead of restaked ETH token (rswETH) that it previously used.

Notably, all chains in the Superchain ecosystem allocate a portion of sequencer revenue to the Optimism Collective. That is, the Decentralized Autonomous Organization (DAO) that governs the ecosystem. In line with this, Swell will also act in consonance with others, bringing in a collective effort to the ecosystem.

Taking A New Approach

Interestingly, Swell’s rollup is taking its Layer 2 business with quite the uncommon hand. Unlike what is obtainable with most similar projects, Swell will incorporate a restaking approach into its Layer 2. This “proof of restake” approach is aimed at enhancing security.

The project believes that this feature will not only help the users but eventually help the Superchain ecosystem at large to thrive. It said in a statement:

“As the restaking yield layer, Swell will bring restaking yield and security to the Superchain.”

Founded in 2023, Swell initially launched as an ETH staking protocol, expanding soon after to support liquid restaking. Now, it manages over $1.3 billion in total value locked (TVL) across its products. Recently, Swell also announced plans for a native governance token, further solidifying its long-term vision and commitment to decentralized governance.

Disclaimer: This article is intended solely for informational purposes and should not be considered trading or investment advice. Nothing herein should be construed as financial, legal, or tax advice. Trading or investing in cryptocurrencies carries a considerable risk of financial loss. Always conduct due diligence before making any trading or investment decisions.