The Celo blockchain has officially proposed utilizing Optimism's OP Stack for its transition from a standalone blockchain to an Ethereum-based layer 2 network. This decision comes after an extensive eight-month evaluation process conducted by cLabs, the development team behind Celo.

The proposal, which will be discussed in further community calls before being put to a vote among CELO token holders, reflects Celo's belief that its future lies within the Ethereum ecosystem rather than as an independent chain. The selection process, dubbed a "bake-off" by Rene Reinsberg, co-founder of CLabs and president of the Celo Foundation, involved evaluating proposals from leading layer 2 providers, including OP Stack, Arbitrum Orbit, zkSync's ZK Stack, and Polygon CDK.

Reinsberg expressed satisfaction with the thorough due diligence process, stating: "[we] didn't just make a decision last year, but did all this due diligence."

The proposed migration to Optimism's OP Stack is driven by Celo's desire to simplify liquidity sharing between its network and Ethereum, boost security, and enhance the developer experience. By leveraging OP Stack, Celo aims to eliminate the need for constant compatibility monitoring, making it easier for developers to leverage Ethereum tooling in their projects.

The design also includes innovative features such as a decentralized sequencer powered by Celo's existing validator set and off-chain data availability solutions like EigenDA, further enhancing the platform's capabilities.

CLabs claims that OP Stack best suited their needs, with the added benefit of potential compatibility with components from other layer 2 teams, such as Polygon's Type 1 prover.

The choice of OP Stack aligns with the growing popularity of the solution among blockchain projects. Recently, Coinbase tapped into the technology to build its own layer 2 chain, Base, while Worldcoin announced plans for a layer 2 called World Chain, also built with OP Stack.

Ryan Wyatt, chief growth officer at the Optimism Foundation, commended Celo for their thorough evaluation process, stating: "It's super cool to actually see them [Celo] be keen on OP Stack, do deep due diligence and look at all these chains."

Celo's transition to an Ethereum layer 2 is part of its broader mission to tackle user experience challenges in the cryptocurrency space, particularly the confusion surrounding public keys. By swapping public keys with mobile phone numbers, Celo aims to make sending and receiving cryptocurrency more accessible to newcomers. The platform also offers multiple stable assets, with a focus on emerging markets, to facilitate use cases such as remittances, savings, lending, and cross-border payments.

As Celo moves forward with its transition to an Ethereum layer 2 using Optimism's OP Stack, the project is poised to leverage the benefits of the Ethereum ecosystem while maintaining its focus on mobile-first accessibility and stable assets for users in emerging markets. This strategic move underscores Celo's commitment to innovation and addressing the needs of a diverse global user base.