> ## Documentation Index
> Fetch the complete documentation index at: https://docs.theblockchainlibrary.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Validium

> A validity-proof scaling system that stores transaction data outside the settlement chain.

# Validium

A validity-proof scaling system that stores transaction data outside the settlement chain.

## Definition

A validity-proof scaling system that stores transaction data outside the settlement chain.

## Why it matters

Scaling concepts explain how blockchain systems increase capacity while balancing security and decentralization.

## How it works

It uses Zero-Knowledge proofs to prove that transactions are valid on the Ethereum mainnet. The actual transaction data is sent to a Data Availability Committee off-chain. If the committee becomes malicious or stops providing the data, users might face difficulties withdrawing their funds, making it a trust-based model compared to pure rollups.

## Real-world example

Immutable X is a prominent example of a platform that uses Validium technology for NFT gaming and trading.

## Advantages

* Incredible scaling potential
* Extremely low transaction costs
* High speed execution

## Limitations

* Higher trust requirements for data availability
* Potential for censorship by data committee
* Complex recovery if data is lost

## Common misconceptions

* Many confuse Validium with ZK-Rollups; the key difference is where the data is kept.
* People often assume Validium is 'less secure' in every way, but it is actually just a different security model.

## Related knowledge

* [Data Availability](/generated/v2/glossary/data-availability) — term
* [Layer 2](/categories/layer-2) — term
* [Rollup](/generated/v2/glossary/rollup) — term
* [Throughput](/generated/v2/glossary/throughput) — term

***

**Canonical knowledge ID:** `glossary:validium`
