The Celo Foundation has announced the successful launch of the Layer-2 testnet, Dango, developed by core contributor cLabs. This development marks a significant milestone in the evolution of the Celo blockchain ecosystem, according to Celo Foundation.

Transition to Layer-2

Originally proposed during EthCC 2023, the transition to Dango involves forking the Alfajores testnet. This move allows ecosystem developers to begin migrating their projects to the new Layer-2 blockchain, which is designed for fast, low-cost payments globally. The migration ensures that all historical data, including smart contracts, accounts, and balances from Alfajores, are preserved and carried over.

Technical Specifications

Dango is built upon Optimism’s OP Stack, a modular and open-source framework for scalable and interoperable blockchains. This architecture supports the Optimism Superchain and incorporates EigenDA as an alternative data availability layer to maintain sub-cent transaction fees. The testnet aims to improve on several core aspects of Celo’s Layer-1 (L1) blockchain, including:

Bridging of WETH and ERC-20 tokens between Ethereum and Celo
Decreasing block time from 5 seconds to 2 seconds, increasing total throughput by 50%
Maintaining 1-block finality
CELO token duality, allowing interaction natively or via the ERC20 interface
Fee Abstraction, supporting multiple ERC-20 tokens as gas currencies, including USDT and USDC
Sending money to a phone number, email address, or other social identifiers via SocialConnect
Maintaining low gas fees for greater accessibility and adoption
Higher security bridging to Ethereum for asset transfers
Continuing Celo’s commitment to Ultragreen Money

Future Outlook

The successful launch of Dango enables infrastructure providers to upgrade to the latest Layer-2 node code. Once all key infrastructure providers have updated, the Alfajores testnet will be upgraded without creating a new fork, allowing developers to test their end-user dApps. The cLabs team anticipates that the migration will culminate in the launch of the Celo Layer-2 mainnet by early winter 2024.

Community and Support

The launch follows the Eigen Foundation’s strategic grant to the Celo community and subsequent community support for cLabs’ governance proposal. The community’s involvement has been crucial in shaping the testnet’s development and ensuring its alignment with the ecosystem’s needs.

About Celo

Celo is an emerging Ethereum Layer-2 and mobile-first blockchain network built for real-world applications, focusing on fast, low-cost payments. The ecosystem includes a decentralized proof-of-stake blockchain, the CELO native token, and several Mento stable assets like cUSD, cEUR, and cREAL. Launched on Earth Day in 2020, Celo supports a diverse range of projects aimed at achieving global prosperity.

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