Celo Transitions to an Ethereum Layer 2 Platform Using Optimism's OP Stack

Celo has successfully transitioned from a standalone layer 1 blockchain to an Ethereum layer 2 platform using Optimism's OP Stack and EigenDA for data availability.

Celo has completed its transition from a standalone layer 1 blockchain to an Ethereum layer 2 platform using Optimism’s OP Stack and EigenDA for data availability. The migration was finalized on March 26 with the activation of the Celo L2 Mainnet at block height 31056500, and the Forno node service is now operational to support the new L2 network.

In a statement, the Celo team highlighted that the move strengthens Celo’s technical capabilities, enhances interoperability with the Ethereum ecosystem, and maintains its core features, such as low transaction fees and fast processing times, which are used by millions of daily users.

“Celo’s upgrade to an Ethereum layer 2 is a natural progression towards our Day 1 mission––to create the conditions of prosperity for all––and platforming a robust onchain economy for the future,” said Rene Reinsberg, Celo co-founder and Celo Foundation President.

The transition follows 20 months of planning, testing, and community governance since its initial proposal by cLabs in July 2023. The decision was driven by the converging needs to simplify liquidity exchange with Ethereum, enhance security through the shared economics of the large Ethereum ecosystem, and improve developer compatibility with the leading smart contract platform.

“Migrating to a layer 2 marks an exciting return home for Celo, combining the best of the networks’ advantages to scale Web3 with global reach and continued impact,” said Marek Olszewski, CEO and co-founder of cLabs, the core developer of the Celo blockchain.

The upgrade brings Celo’s ecosystem of over 1,000 projects to the Ethereum network, promising a surge in activity and innovation. Despite the move, Celo retains its ultra-low fees of $0.0005 and rapid transaction speeds, and is processing about 3 million transactions per day.

Accompanying the migration are key technical upgrades, including a 5-fold improvement in block times, dropping from 5 seconds to 1, and the implementation of native bridging with Ethereum. This bridge is a critical security enhancement, reducing reliance on external bridging solutions that have proven exploitable.

The Forno node service is now operational and provides full support for the new L2 network. The service is designed to be user-friendly and provides easy access to all the essential L2 modules and configurations.

With the successful completion of the migration, Celo is poised to enter a new chapter in its journey to empower billions of people with financial technology.