Gluon

Funds can be stolen if

1. there is no one that checks the published state. Fraud proofs assume at least one honest and able validator,
2. users are unable to withdraw in a mass exit event,
3. a contract receives a malicious code upgrade. There is no delay on code upgrades (CRITICAL).

Funds can be lost if

4. the external data becomes unavailable (CRITICAL).

Users can be censored if

5. the operator refuses to include their transactions. They can still exit the system.

MEV can be extracted if

6. the operator exploits their centralized position and frontruns user transactions.

Fraud proofs ensure state correctness

After some period of time, the published state root is assumed to be correct. For a certain time period, usually one week anyone can submit a fraud proof that shows that the state was incorrect.

• Funds can be stolen if there is no one that checks the published state. Fraud proofs assume at least one honest and able validator.

Data is not stored on chain

The transaction data is stored on a plasma chain and is not recorded on the Ethereum main chain.

• Funds can be lost if the external data becomes unavailable (CRITICAL).

The system has a centralized operator

The operator is the only entity that can propose blocks. A live and trustworthy operator is vital to the health of the system.

• MEV can be extracted if the operator exploits their centralized position and frontruns user transactions.

Users can independently exit the system

Independent exit allows the users to escape censorship by withdrawing their funds. The system allows users to withdraw their funds by submitting a transaction directly to the contract on-chain.

• Users can be censored if the operator refuses to include their transactions. They can still exit the system.

Regular exit

The user executes the withdrawal by submitting a transaction on L1 that requires a merkle proof of funds.

The mass exit problem is unsolved

In case the operator is malicious all users need to exit within a predetermined time frame. Users that do not manage to do this will lose their funds.

• Funds can be stolen if users are unable to withdraw in a mass exit event.