What is Optimism?
Optimism is a Layer 2 Optimistic Rollup network designed to utilize the strong security guarantees of Ethereum while reducing its cost and latency.
Background
Optimism Labs, Jinglan Wang, Kevin Ho, and Karl Floersch founded Optimism in 2019.
How Does It Work
Optimism employs a unique two-part governance structure that includes the Optimism Fund and the Optimism Collective. The Optimism Collective is further broken down into the Citizens’ House, users with a soul-bound Citizen NFT, and Token House, users who hold Optimism’s token $OP. The Optimism Fund plans to phase out in the future so that only the Optimism Collective remains. $ETH is utilized as the rollup gas token to work towards EVM equivalence.
Key Takeaways
- Optimism is an Ethereum L2 that uses Optimistic Rollups.
- Optimism uses a two-part governance structure.
- $OP is their governance token, while $ETH is the gas token.