What is Layer 2?
Layer 2 (L2) refers to protocols built on top of a base blockchain (Layer 1) that process transactions off the main chain while inheriting its security.
Types of Layer 2s
- Optimistic Rollups: Arbitrum, Optimism
- ZK Rollups: zkSync, StarkNet
- Sidechains: Polygon PoS
Benefits
- Much lower gas fees
- Faster transactions
- Same security as L1