What Is Scroll (SCR)?

What Is Scroll (SCR)?

Intermediate
Updated May 12, 2026
8m

Key Takeaways

  • Scroll is an Ethereum Layer 2 scaling solution that uses zk-rollup technology to process transactions off the main chain, aiming to reduce congestion and lower gas fees for users and developers.

  • The Scroll zkEVM achieves bytecode-level compatibility with Ethereum, meaning developers can deploy existing smart contracts and tools without rewriting code.

  • Scroll launched on Ethereum mainnet in October 2023 and introduced the SCR governance token in October 2024, giving token holders a vote in protocol decisions.

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Introduction

If you've ever used Ethereum, you've likely noticed that it can be slow and expensive during periods of high demand. As more people use decentralized apps (DApps), the network faces congestion, which pushes up gas fees and slows transaction confirmations. Scroll is designed to address this by acting as a Layer 2 scaling solution built on top of Ethereum.

Rather than replacing Ethereum, Scroll works alongside it, processing transactions off the main chain using zero-knowledge rollups (zk-rollups) and then sending verified summaries back to Ethereum for final settlement. Scroll is designed to inherit much of Ethereum’s security through validity proofs and Ethereum settlement.

What Is Scroll (SCR)?

Scroll is a Layer 2 blockchain built specifically for Ethereum, focused on making the network faster and cheaper without changing how Ethereum itself works. It processes transactions off Ethereum's main chain and uses cryptographic proofs to confirm that everything was handled correctly before recording the results back on Ethereum.

Founded in 2021 and developed in collaboration with the Ethereum Foundation's Privacy and Scaling Explorations research group, Scroll launched on Ethereum mainnet on October 17, 2023, after more than two years of public testnet development. The project introduced the SCR governance token in October 2024.

Why Does Ethereum Need Scroll?

Ethereum's design prioritizes security and decentralization. While this is what makes it a trusted foundation for DApps and DeFi, it also limits throughput: the main chain can only process a set number of transactions per second. During busy periods, users compete by paying higher gas fees to have their transactions included faster, which can make basic interactions expensive.

Layer 2 solutions like Scroll help by taking transaction processing off Ethereum's main network, reducing the load. Ethereum still acts as the final authority, verifying the results and maintaining the security guarantees, but users benefit from lower fees and faster confirmations during day-to-day activity.

How Does Scroll Work?

The basics of rollups

Rollups process a batch of transactions off Ethereum's main network and then send a compressed summary back to the main chain for verification. There are two main types: optimistic rollups, which assume transactions are valid unless challenged, and zk-rollups, which use cryptographic proofs to confirm validity upfront. Scroll uses zk-rollups, which rely on zero-knowledge proofs (ZKP) to prove that off-chain transactions were processed correctly without Ethereum having to re-execute each one individually.

Scroll's three-layer architecture

Scroll's system has three main components:

  • Settlement layer: This is Ethereum itself. Scroll uses Ethereum's mainnet for data availability and zk-rollup proof verification, so Ethereum remains the final source of truth.

  • Sequencing layer: This layer organizes and processes transactions on Scroll, grouping them into batches and sending the data back to Ethereum for recording.

  • Proving layer: A network of provers generates the ZKPs that confirm the transactions were handled correctly. These proofs are then submitted to Ethereum for verification.

Zero-Knowledge Ethereum Virtual Machine (zkEVM)

One of Scroll's core features is its zkEVM, which stands for zero-knowledge Ethereum Virtual Machine. This allows Scroll to run Ethereum-compatible transactions using zk-rollups, without requiring developers to rewrite their code or learn a new toolset. Scroll achieves bytecode-level EVM compatibility, meaning smart contracts and developer tools that work on Ethereum can be deployed on Scroll directly.

How Transactions Work on Scroll

Transactions on Scroll move through three stages:

  • Confirmed: A user submits a transaction to either Ethereum's mainnet or directly to Scroll. Once executed and included in a block, it's confirmed.

  • Committed: Confirmed transactions are bundled into a batch, which is sent to Ethereum's main network and recorded on-chain.

  • Finalized: Scroll generates a validity proof for the batch using zero-knowledge cryptography and submits it to Ethereum. Once Ethereum verifies the proof, the transactions are finalized on the main chain.

The Advantages of Scroll

Better scalability

By processing transactions off-chain and batching them together, Scroll can handle significantly more throughput than Ethereum's base layer alone. This helps support a growing ecosystem of DApps without requiring changes to Ethereum itself.

Lower transaction fees

Batching transactions and using zk-rollups reduces the per-transaction cost for users. The October 2024 upgrade that introduced the SCR token also included zk library improvements that cut gas fees by approximately 1.5x compared to earlier versions.

Security stays strong

Even though transactions are processed off Ethereum's main chain, Scroll's zk-rollup design means every batch of transactions is backed by a cryptographic proof verified by Ethereum. This is different from optimistic rollups, which rely on a challenge window rather than upfront proof.

Compatible with Ethereum

Scroll's zkEVM ensures full compatibility with Ethereum's existing infrastructure. Developers don't need to learn a new language or rewrite their DApps to deploy on Scroll, lowering the barrier to adoption.

The SCR Token

Scroll launched the SCR governance token in October 2024. The token plays several roles in the Scroll ecosystem:

  • Governance: SCR holders can vote on protocol decisions, including upgrades and changes to how the network operates. Two delegated DAO bodies, the Ecosystem Growth Council and the Community Council, help coordinate governance activity.

  • Network support: Provers and sequencers maintain the Scroll network by verifying transactions and organizing them into blocks. SCR tokens are designed to reward these participants, helping keep the network decentralized and functional.

  • Staking: Users and validators can stake SCR tokens to help secure the network and potentially earn staking rewards. The economics of staking are subject to the parameters set by Scroll governance.

Key Network Updates

Since launching on mainnet in October 2023, Scroll has released several significant upgrades:

  • Darwin Upgrade (August 2024): Introduced multiple-batch support, improving transaction throughput.

  • SCR token launch and zkEVM improvements (October 2024): The token launch coincided with technical upgrades that reduced gas fees by approximately 1.5x through zk library improvements and the adoption of Ethereum blobs for Layer 1 data submission.

  • Galileo Upgrade (December 2025): A two-phase upgrade activated on December 16 and December 18, 2025, improving proof generation efficiency and network performance.

Scroll's Total Value Locked (TVL) peaked at approximately $585 million in October 2024, driven in part by the Scroll Sessions on-chain incentives program. 

FAQ

What is Scroll (SCR)?

Scroll is a Layer 2 blockchain built on Ethereum that uses zk-rollup technology to process transactions faster and at lower cost than Ethereum's main chain. It launched on mainnet in October 2023 and introduced the SCR governance token in October 2024.

How does Scroll differ from other Layer 2 solutions?

Scroll uses zk-rollups with a zkEVM that achieves bytecode-level compatibility with Ethereum, meaning developers can deploy existing Ethereum smart contracts on Scroll without code changes. Unlike optimistic rollups, zk-rollups verify transactions with cryptographic proofs rather than relying on a challenge window, which can offer faster finality.

What is the SCR token used for?

SCR is Scroll's governance token. Holders can vote on protocol decisions and upgrades. The token is also designed to reward provers and sequencers who maintain the network, and users can stake SCR to support network security and potentially earn staking rewards.

Is Scroll safe to use?

Scroll inherits its security from Ethereum's Layer 1 through cryptographic validity proofs. Like all blockchain projects, it carries technical and ecosystem risks, and its security model continues to evolve. Users should review the latest information from the Scroll team before using the network.

Closing Thoughts

Scroll is an Ethereum Layer 2 project that uses zk-rollup technology to improve transaction throughput, reduce fees, and maintain full compatibility with Ethereum's developer tooling. 

With the continuous development of Ethereum's Layer 2 ecosystem, projects like Scroll contribute to the broader goal of making Ethereum more accessible and scalable. 

Further Reading

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