Optimistic Rollups (like Arbitrum and Optimism) excel at providing a near-instant user experience for common interactions. They assume transactions are valid by default, posting only the transaction data to Ethereum L1. This allows for fast, low-cost transactions with finality times of around 1-3 seconds on L2. The trade-off is a mandatory 7-day challenge period for withdrawals to L1, a security mechanism that delays final settlement. This model has driven massive adoption, with a combined TVL often exceeding $15B across leading networks.