Nikolas Sargeant
Some of the biggest names in blockchain, including Vitalik Buterin himself, are intent on breathing new life into Plasma scaling technology, which was first proposed as the answer to Ethereum’s sluggish transaction processing speeds back in 2017.
Buterin was joined on stage at the recent inaugural PlasmaCon event by a host of high-profile names in the crypto industry, including the cryptography expert David Chaum, Ethereum Foundation researchers Barry Whitehat and Justin Drake, and INTMAX co-founder and system architect Leona Hioki.
PlasmaCon took place on the sidelines of EDCON Tokyo, one of the highest profile events on Japan’s crypto circuit, focused on themes around Ethereum interoperability and blockchain scaling technologies such as Zero-Knowledge Rollups, Optimistic Rollups and data availability layers.
PlasmaCon was hot! We changed perceptions of Plasma tech and the future of Ethereum for more than 400 people offline and over 9K online. We’re trendsetters—it’s not easy, but we’re doing great as you can see.
— INTMAX (@intmaxIO) August 3, 2024
Follow INTMAX for more updates and disruptive releases! #plasmacon pic.twitter.com/5YrvsAQxXl
What is Plasma?
Plasma scaling technology actually supersedes all of those ideas. The solution was first outlined by Buterin and Lightning Network creator Joseph Poon in a whitepaper that was published back in 2017 and was notable for being one of the first scaling endeavors to introduce the concept of secondary chains that offload transaction processing.
In particular, Plasma arranges its secondary chains, known as “Plasma Chains”, in a hierarchical way. It uses a data structure known as the “Merkel Tree” to organize a series of Plasma Chains, with one sprouting off of another to create a branch-like structure of secondary networks that operate independently while still being linked to, and interoperable with each other. Different Plasma chains can be created to support an unlimited number of use cases and applications
In their original whitepaper, Buterin and Poon suggested that Plasma had the potential to enable Ethereum to achieve Visa-level volumes by offloading all of the data and computation involved in transactions, with the exception of deposits, withdrawals and Merkel roots. It’s an ingenious model that supports greater scalability by bypassing the limitations of on-chain data availability.
Buterin outlines a new vision
Plasma generated a lot of excitement in the Ethereum community when it was first outlined, but its pace of development was unable to match that enthusiasm, and the technology ultimately found itself sidelined due to progress with rival scaling solutions such as ZK-rollups and Optimistic rollups.
However, Buterin has recently begun talking up Plasma again, reigniting interest in the technology. In particular, he believes that by merging Plasma with ZK-Rollups, it might be possible to boost blockchain security and scalability to a level beyond what either solution can do by itself.
At PlasmaCon, Buterin doubled-down on his belief that Plasma still has a future, explaining that new developments in the area of ZK-proofs can dramatically improve on the original vision outlined by himself and Poon. The Ethereum co-founder said interest in Plasma had cooled due to “implementation challenges”, but by integrating validity proofs, it might be possible to overcome those problems.
Buterin went on to describe how a Plasma system that leverages validity proofs could potentially enable almost instantaneous withdrawals while dramatically improving on the level of scalability provided by existing Layer-2 solutions. He also spoke of a the possibilities of an “EVM-compatible” Plasma network that could significantly expand its utility.
Potential to scale and enhance privacy
What’s encouraging is that Buterin is by no means the only one who is enthusiastically talking up the prospects of Plasma rising like a phoenix from the ashes.
During the event, INTMAX’s Hioki presented his own theories on “scaling privacy” on Ethereum and outlined how his team’s stateless plasma design achieves the delicate balancing act of boosting throughput while improving user privacy.
While Buterin is the most prominent individual talking up Plasma, INTMAX is perhaps the highest-profile of a handful of projects that are busy making his vision a reality. The company has developed a novel ZK-rollup technology that’s based on Plasma, introducing customizable privacy controls into the mix that cannot be found with traditional ZK-proofs. INTMAX has made a lot of headlines in the past for its claims that it can support over a billion users while processing transactions faster than any other Ethereum L2.
Chaum outlined his own vision for Plasma in a keynote, which involves integrating advanced AI and quantum-resistant cryptography to create privacy-preserving protocols that can support communications, payments, and identity services. He stated his belief that this kind of advanced privacy technology will eventually be necessary to safeguard human autonomy amid the rise of more powerful AI systems.
Drake, meanwhile, used the Plasmacon event to introduce his concept of “Plasma-inspired” data compression techniques that could ultimately pave the way for “Zero-byte” blockchain networks. They would utilize the cutting-edge cryptographic technology, he explained, creating privacy-preserving networks that minimize on-chain data in order to scale far beyond what today’s ZK-rollups are capable of doing.
Plasma in action
While much of the discussion was around the theoretical capabilities of Plasma, others at the event were keen to demonstrate how technology is already making its mark in real world scenarios.
One of the most intriguing concepts was shared by Jack Saracco of Ping, a payments startup that enables Latin American freelancers to get paid in U.S. dollars and exchange those earnings for crypto. It then uses Plasma-based networks to remit those funds to end users. Another proponent of Plasma is Yoseph Ayele of Borderless Africa, who provided a number of examples of how the technology is already making an impact in Africa.
Much more to come
It’s important to realize that there’s still a lot of work to be done on the development side if Plasma is to realize its promise of scaling Ethereum to meet the needs of billions of people.
For now, alternative scaling technologies like ZK-Rollups and Optimistic Rollups are a lot more mature, and there is a plenty of optimism that they may achieve the same end goal. That said, it’s often the case that emerging technologies end up being better together, and there is significant potential for Plasma-based networks that integrate ZK proofs and other forms of advanced cryptography.
Some of the most recognizable names in blockchain are not only talking up Plasma, but actively working on bringing their ideas to fruition. Plasma-based networks have been given a new lease of life, and it’s safe to say we’ll be hearing a lot more about how they can help blockchain to achieve the privacy-preserving scalability it needs to achieve mainstream adoption.
