Espresso Systems Raises $28 Million in Series B Funding to Boost Ethereum’s Layer 2 Solutions
Espresso Systems, a company focused on advancing Ethereum’s Layer 2 solutions, has recently secured $28 million in a Series B funding round. The funding round was led by a16z crypto, with participation from Polygon, Taiko, o1Labs, StarkWare, Offchain Labs, and other strategic investors and contributors.
Advancing Product Development and Investing in the Rollup Ecosystem
The Series B funding will enable Espresso Systems to advance its product development efforts and invest in the rollup ecosystem. The company aims to achieve community-driven governance and full decentralization while making Espresso a public good for various Layer 2 technologies.
To support its vision, Espresso Systems is launching a hiring campaign to strengthen its team with individuals who are passionate about Ethereum’s future.
A Marketplace for Shared Sequencing
Espresso Systems aims to be more than just a shared sequencer or consensus protocol. The company envisions Espresso as a marketplace for shared sequencing, where rollups can sell the right to build their blocks to proposers who bid for these rights.
The marketplace allows for bids on sequencing multiple rollups simultaneously, facilitating cross-chain activities. This feature is open to all, including Layer 1 proposers and rollup DAO sequencers. It enables rollups to delegate their sequencing tasks to Espresso for simplified management.
The HotShot Feature for Fast Finalization
Espresso Systems has also introduced the HotShot feature, which provides fast finalization for blocks. This feature helps preserve the expected user experience by ensuring quick transaction confirmations. HotShot is financially supported by stakeholders and Ethereum restakers and has the potential to extend to the full Ethereum validator set, ensuring transactions are finalized on Layer 1.
Building a Comprehensive Solution for Rollups
Espresso Systems’ ultimate goal is to build a comprehensive solution for rollups that enhances safety, liveness, and interoperability. The company aims to increase utility for rollup users while allowing them to be compensated for the value they create and maintain their sovereignty and autonomy.
By securing $28 million in Series B funding, Espresso Systems is well-positioned to accelerate the development of its Layer 2 solutions and contribute to the growth and scalability of the Ethereum ecosystem.
Hot Take: Espresso Systems Raises $28 Million to Boost Ethereum’s Layer 2 Solutions
Espresso Systems, a leading player in Ethereum’s Layer 2 space, has raised $28 million in a Series B funding round. This funding will allow the company to advance its product development efforts and invest in the rollup ecosystem. By creating a marketplace for shared sequencing and introducing the HotShot feature for fast finalization, Espresso Systems aims to enhance safety, liveness, and interoperability for rollups.
The Series B funding round was led by a16z crypto and saw participation from other prominent investors and contributors. With this new influx of capital, Espresso Systems is well-equipped to drive innovation and scalability in the Ethereum ecosystem.
Sources: Medium Blog Post
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