Not Just Servers: Vitalik Defends Base & Security of L2s

Ethereum co-founder Vitalik Buterin has weighed in on the growing debate around Layer 2 solutions like Base, pushing back against misconceptions that L2s are just centralized servers or “unlicensed exchanges.” In a series of posts, Buterin, along with Coinbase CLO Paul Grewal & Base contributor Jesse Pollak, clarified how L2s work, the safeguards in place, & why they are essential for Ethereum’s scalability.

• Base: Building the Right Kind of L2
• Security & Non-Custodial Guarantees
• Decentralization Stages & Governance
• Sequencers: Infrastructure, Not Exchanges
• The Bigger Picture: Scaling Ethereum

Base: Building the Right Kind of L2

Vitalik praised Base for “doing things the right way.” Unlike centralized platforms, Base leverages Ethereum’s decentralized base layer for security while using centralized components to improve UX.

This hybrid approach enables faster, cheaper transactions while ensuring user funds are ultimately tied to Ethereum Layer 1.

Base is doing things the right way: an L2 on top of Ethereum, that uses its centralized features to provide stronger UX features, while still being tied into Ethereum's decentralized base layer for security.

Base does not have custody over your funds, they cannot steal funds or… https://t.co/0EMdThg4gU

— vitalik.eth (@VitalikButerin) September 22, 2025

Security & Non-Custodial Guarantees

One of the strongest assurances of L2s is their non-custodial nature. Buterin emphasized that Base cannot seize funds or prevent withdrawals, even in the event of an L2 shutdown.

Mechanisms defined in smart contracts on Ethereum’s mainnet guarantee users can exit safely. He also countered critics who view L2beat as a “nerd compliance authority,” clarifying that L2beat measures real, user-facing protections.

For example, Soneium demonstrated censorship resistance when its operator attempted to block transactions.

Decentralization Stages & Governance

Ethereum L2s evolve through decentralization “stages.” At Stage 1, a security council with 75% majority can override code.

However, at least 26% of members must be external to the managing organization which ensures that no single entity can seize funds or censor users. Buterin linked to his blog post on decentralization math, explaining how Stage 2 would remove even this override power, making the system fully governed by immutable code.

Base is actively progressing from Stage 1 to Stage 2.

Sequencers: Infrastructure, Not Exchanges

A major source of regulatory FUD comes from equating sequencers with exchanges. Paul Grewal argued that this is misleading, since sequencers do not match buyers & sellers of securities.

Instead, they simply:

• Collect & order transactions (FIFO basis).
• Compute state changes.
• Batch them to Ethereum L1 for settlement.

Jesse Pollak noted that users can also transact directly on Ethereum, bypassing sequencers entirely. For deeper technical details, Pollak shared Base’s transaction ordering docs.

Grewal compared sequencers to AWS infrastructure, which runs arbitrary code but is not considered an “exchange” just because an exchange app might be deployed on it.

The Bigger Picture: Scaling Ethereum

Together, these clarifications highlight Ethereum’s long-term roadmap. L2s are not intermediaries, but rather extensions of Ethereum.

By anchoring security to Ethereum’s L1 while providing fast, low-cost transactions, L2s like Base are critical in scaling the global on-chain economy. As L2beat tracks decentralization progress & leaders like Buterin, Grewal, & Pollak push back against FUD, the Ethereum community continues to reinforce trust in L2 infrastructure.

With safeguards at each stage of decentralization & transparent measurement from platforms like L2beat, L2s are building the foundation for a scalable, censorship-resistant, & user-protected future.

If you find any issues in this blog or notice any missing information, please feel free to reach out at yash@etherworld.co for clarifications or updates.

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