Optimistic Rollups (like Arbitrum and Optimism) excel at achieving high decentralization for their sequencer sets and governance because they leverage the mature, battle-tested security of Ethereum's social consensus for fraud proofs. Their primary decentralization challenge is the 7-day withdrawal delay, a security trade-off that allows for cheap, scalable execution. For example, Arbitrum One's DAO now governs protocol upgrades and sequencer selection, demonstrating a clear path to decentralized sequencing with over $18B in TVL secured by this model.