Welcome to
Midgard

Midgard L2 is a bespoke optimistic rollup protocol designed to enhance the scalability of the Cardano Layer 1

Core Concepts

Operators / Watchers

Operators process Layer 2 (L2) transactions, publish full block contents on the data availability (DA) layer, and commit blocks to Cardano’s Layer 1 (L1) at regular intervals. These updates are verified by state validators on L1.

Watchers, on the other hand, are incentivized participants who monitor for fraudulent activities. This creates a self-sustaining economic system that ensures the integrity of the Midgard protocol

Fraud Proofs

During a designated challenge period, any “watcher” can contest the validity of state commitments by submitting a fraud-proof. These proofs demonstrate that a state transition is invalid, ensuring that any fraudulent activity is identified and corrected.

If a fraud-proof is successfully validated, the fraudulent state update is invalidated, and the responsible Operator may face penalties, including the loss of their bond

State Management

Efficient storage of L2 state via Merkle roots, representing the current state, incoming transactions, and next state. Leverages Cardano’s UTxO model for partial state updates and fine-grained validation for fraud-proofs

Optimistic Rollup

Midgard uses optimistic rollup technology, which assumes transactions are valid by default and only checks them if a fraud proof is submitted

Tokenless Design

Midgard operates with ADA for all transactions and economic incentives, functioning as a collection of smart contracts on the Cardano Layer 1

Benefits of Midgard L2

How does it work?

Explore how Midgard ensures high transaction throughput while maintaining the high security and decentralization of the Cardano L1

Transaction Processing

Transactions are initially processed off-chain by Operators, who then submit state updates to the L1 State Validator contract
Direction Arrows
01

State Commitments

Operators regularly publish state commitments that include the current state, incoming transactions, and the next state, represented in a compact form using Merkle roots
Direction Arrows
02

Challenge Period

A designated time window is given for fraud-proof submissions, where watchers can contest invalid state transitions by operators
Direction Arrows
03

Finalization / Dispute Resolution

If unchallenged, state update is finalized after the challenge period. If challenged, fraud proofs are verified and state is corrected if necessary
04

Get Involved

Whether you’re a developer, SPO, or simply a blockchain enthusiast, Midgard L2 offers numerous opportunities to participate and contribute

Join us in pushing the boundaries of what Cardano can achieve

Midgard Socials