SSV Network has just rolled out an exciting new project aimed at creating infrastructure for “based” applications, or “bApps.” These applications will connect directly to Ethereum’s layer-1 chain.
The recent SSV 2.0 upgrade allows these bApps to integrate smoothly with Ethereum’s validator network. This upgrade relies on Ether validators for security and supports a variety of uses, including layer-2 networks, data oracles, and fraud-proof systems.
According to a press release shared with Cointelegraph, this upgrade is a big step forward in boosting Ethereum's security. It addresses the growing need for interoperable solutions anchored at layer-1. Alon Muroch, the founder and CEO of SSV Labs, calls it the company’s most ambitious project yet. If the network's decentralized autonomous organization (DAO) adopts it, we could see significant changes in the restaking market.
The benefits of this new infrastructure, built on Distributed Validator Technology (DVT), are impressive. It offers direct layer-1 security without needing extra tokens. Plus, it features an “infinite-sum” security model where more participation strengthens the network. This helps avoid the cascading risks that some current restaking models face.
Another key feature is the SSV Chain, a new coordination layer that enables cross-chain compatibility with other proof-of-stake blockchains like Solana, Avalanche, and Cosmos. There’s also an updated tokenomics model. It includes new staking rewards, burning mechanisms, and better earning potential for validators who secure bApps and provide services.
The “based” movement is a significant shift in Ethereum's ecosystem. It tackles important challenges related to fragmentation and scalability. While Ethereum’s layer-2 solutions have improved scalability, they’ve also led to fragmentation. Different rollups now maintain separate ecosystems, liquidity pools, and development environments.
Jesse Pollak, head of Coinbase’s L2 network Base, agrees that Ethereum needs to be more interconnected at the base layer. On January 25, he noted that based rollups are “both a flexible and powerful tool.” They’ll help Base connect better to Ethereum and enhance the security it offers.
These “based rollups” use Ethereum’s validator set to sequence transactions correctly. With pre-confirmations, validators can include transactions quickly and efficiently.
Currently, the SSV Network secures over $6.5 billion in total value locked. More than 2 million ETH has been restaked, and there are 1,250 operators in the network.