We're not talking about a cryptoquest platform, but about rollups on top of rollups - the ones launched in recent months by every popular L2 from Arbitrum to Starknet.
💡Base
🔼If you understand how L2s work, it shouldn't be hard to visualize how L3s work. If you don't, let's remind you of the principle: L2 (Layer 2) are separate "layer 2" blockchains that offer cheaper and faster transactions than L1 by combining them off-chain and bundling them into Ethereum.
In doing so, security is inherited from the Layer 1 network (at least in the long run). L3 works in a similar way, but on top of L2, respectively enabling even faster and cheaper transactions.
🧐Why do we need L3s?
L2 has proven to be insufficiently scalable for some types of applications, such as gaming or order book-based DEX. They require very high bandwidth and very low fees, which neither L2 projects already launched and with support from developers nor Ethereum itself with its scale can offer yet.
👀What will happen with L2?
Layer 2 blockchains remain a great general purpose scaling solution, meaning they are still suitable for most dApps - it's worth considering that the lower L3 fees come at the cost of reduced security. Also, L2 projects directly benefit from L3 adoption because the latter will pay them for transactions.
➡️Examples of L3
🟢XAI gaming blockchain on top of Arbitrum from Offchain Labs themselves. One of the first Arbitrum Orbit networks .
🟢Hyperchains from zkSync using ZK Stack. All "hyperchains" can communicate with each other.
🟢Starknet Appchains, just the other day announced at EthCC in Paris
Did you know about blockchain tiers?
👍 - Yes
👎 - No