Ethereum ETH -0.02% co-founder Vitalik Buterin highlights a viable solution to implementing cross-chain social recovery wallets in his latest post titled “In-depth cross-layer 2 reading for wallets and other use cases.” The proposal involves maintaining a keystore and multiple wallets in different locations.
These wallets will be able to read the keystore to update their own view of the verification key or during each transaction verification process.
Cross-chain proofs play a vital role in realizing this functionality and require deep optimization. Potential solutions include zero-knowledge proofs (ZK-SNARKs), waiting for Verkle proofs, or custom KZG solutions.
Looking forward to the future, protocol aggregation needs to be realized, and by generating aggregation proofs, the operations submitted by all users are bundled, thereby reducing costs.
This integration may require inclusion into the ERC-4337 ecosystem, which may require some modifications to ERC-4337. At the same time, L2 should be optimized to minimize the latency of reading L1 state from within L2.
Wallets can be placed not only on L2, but also on systems that have a lower-level connection to Ethereum, such as L3 or a separate chain that only contains the root of the Ethereum state. However, the keystore should reside on L1 or a highly secure ZK-rollup L2.
Although this adds complexity, having a key vault on L2 may prove to be a more cost-effective solution in the long run. Throughout the process, efforts should be made to provide privacy protection solutions and ensure compatibility with existing privacy protection measures.
