Why Built on Layer 2?
Scalability: Layer 2 solutions have the potential to significantly boost transaction throughput and alleviate congestion on the main blockchain, allowing for a higher number of transactions to be processed per second.
Reduced Transaction Costs: L2 solutions often achieve lower transaction fees by processing transactions off-chain or on a separate chain. This cost-effectiveness benefits users who engage in transactions.
Swift Confirmations: Transactions conducted on Layer 2 can be confirmed much more rapidly than those on the main chain. This enables instant payments and enhances the overall user experience.
Enhanced Privacy: Certain Layer 2 solutions incorporate improved privacy features. Transactions are not recorded on the main blockchain until settlement, providing an added layer of privacy.
Interoperability: Many Layer 2 solutions are intentionally designed to be compatible with multiple L1 blockchains, facilitating cross-chain interoperability.
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