Blockchain & Cryptocurrency Glossary

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Verify-Inside Rollup

1 min read
Pronunciation
[ver-uh-fahy in-sahyd roh-lup]
Analogy
Like grading tests within each classroom rather than sending every paper to the principal’s office for approval.
Definition
A rollup architecture where transaction validity proofs are generated and verified entirely within the Layer 2 network, reducing on-chain verification workload on Layer 1.
Key Points Intro
Verify-inside rollups offload proof verification to L2 nodes.
Key Points

Internal proofing: validity or fraud proofs checked by L2 sequencers

Post-batching: only aggregate proof or state root submitted to L1

Gas savings: minimizes per-transaction on-chain verification

Complexity: requires robust L2 execution environment

Example
A ZK-rollup implementation verifies each block’s zkSNARK proof on its own sequencer cluster, then submits a single succinct proof to Ethereum mainnet.
Technical Deep Dive
Sequencer nodes execute state transitions, generate SNARK proofs via dedicated proving workers, and run a local verifier before bundling proofs. On L1, a rollup contract only checks a final zkSNARK or updates a state root hash, drastically reducing gas per rollup block.
Security Warning
If L2 sequencers collude or malfunction, invalid state may be submitted without immediate on-chain checks.
Caveat
Shifts trust assumptions to L2 operator correctness and sequencer availability.
Related Terms
Fraud Proof

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