Today I prepared an article about Layer 2, list of Layer 2, write a word about them and present some graphs where I will be a buyer of those projects. Before I start I will just say that Matic is also in this list and you can find an article and posts about it in my profile and if you want you can read it
What are crypto Layer 2?
A Layer 2 solution is a secondary blockchain network, which reduces the load on the parent chain by handling part of its capabilities. Think of Ethereum as a boss whose desk is overflowing with paperwork (validating & executing transactions)
So we can refer layer 2 to any off-chain network, system, or technology built on top of a blockchain (commonly known as a layer-1 network) that helps extend the capabilities of the underlying base layer network. Layer-2 networks can support any blockchain to introduce enhancements such as higher transaction throughputs
One core requirement for a network, system, or technology to be considered a layer 2 is that it inherits the security of the blockchain it is built on top of. Transaction data must, in some shape or form, be verified and confirmed by the underlying blockchain network rather than a separate set of nodes. For example, sidechains are often not considered layer 2s because they usually deploy their own consensus mechanisms and validators, leading to a different set of security guarantees than that of the base layer chain
For blockchains that sacrifice scalability to achieve higher decentralization and security, layer 2s enable greater transaction throughput, which can lead to lower fees. Layer 2s can be seen as one solution to the problem of scalability, enabling fast and scalable execution without compromising on decentralization or security
List of Layer 2
What Is Mantle Network (MNT)?
Mantle Network is an L2 technology stack for scaling Ethereum, and is the first core product of Mantle Ecosystem. Mantle Network strives to be compatible with the Ethereum Virtual Machine. Mantle Network’s modular architecture separates transaction execution, data availability, and transaction finality into modules — which can be individually upgraded and adopt the latest innovations.
As the world’s first DAO-spawned L2, Mantle Network is pioneering a vision for the mass adoption of token-governed technologies.
MNT is the native token used for:
1.Paying gas fees
2.Growing the ecosystem
3.Governance by the community
In green is the levels where am I willing to buy MANTLE. I am not an investor of this project yet. You can buy it in Bybit, Kucoin and Gateio just to name a few
What Is Arbitrum (ARB)?
Arbitrum is an Ethereum layer-two (L2) scaling solution. It uses optimistic rollups to achieve its goal of improving speed, scalability and cost-efficiency on Ethereum. Arbitrum benefits from the security and compatibility of Ethereum. Another benefit is the higher throughput and lower fees compared to Ethereum. That is made possible thanks to moving most of the computation and storage load off-chain
Arbitrum’s native token is called ARB and is used for governance. Offchain Labs, the developers behind Arbitrum, announced the shift to a decentralized autonomous organization (DAO) structure — the Arbitrum DAO. ARB holders can vote on proposals that affect the features, protocol upgrades, funds allocation and election of a Security Council
Arbitrum has an ambitious roadmap for 2023, which includes: Launching its own layer-three solution called Orbit; Enabling developers to deploy programs written in popular programming languages like Rust, C++, and more using Stylus; Expanding its validator set to include more independent institutional validators; Moving its protocol to layer two with Arbitrum One
I am a big fan of ARB just hoping they can even lower fees
What Is Immutable (IMX)?
Immutable positions itself as the first layer-two scaling solution for NFTs on Ethereum. According to Immutable, its blockchain does away with Ethereum’s limitations like low scalability, a poor user experience, illiquidity, and a slow developer experience. Instead, users benefit from instant trading and massive scalability while enjoying zero gas fees for minting and trading NFTs without compromising user or asset security
Thanks to this technology, users will be able to create and distribute assets like ERC-20 and ERC-721 tokens on a massive scale. Chris Clay, the game Director of Gods Unchained, a project already building on Immutable, stated that Immutable allows Gods Unchained to implement a new meta-system that was previously impossible. In this fashion, Immutable aims to create a world-class experience for users and developers alike
I think ATH for this project is inevitable but I am expecting a little retrace and the second thing is I noticed that some big names YouTubers are promoting this coin so don't be scare to sell it when the time is right otherwise you will be their liquidity bag
What Is Optimism (OP)?
Optimism (OP) is a layer-two blockchain on top of Ethereum. Optimism benefits from the security of the Ethereum mainnet and helps scale the Ethereum ecosystem by using optimistic rollups. That means transactions are trustlessly recorded on Optimism but ultimately secured on Ethereum
Optimism is one of the biggest scaling solutions for Ethereum with over $500 million in TVL. It is home to 97 protocols, the biggest being Synthetix (SNX), a derivatives exchange, Uniswap (UNI), a DEX, and Velodrome (VELO), an AMM. Users can begin their journey on Optimism by adding the chain on their Metamask and bridging tokens like ETH to the L2
As you can see in white whenever it touches a trend line we se some nice gains. I think OP will be a big player in future
About Starknet
StarkNet is a permissionless decentralized Validity-Rollup (also known as a “ZK-Rollup”). It operates as an L2 network over Ethereum, enabling any dApp to achieve unlimited scale for its computation – without compromising Ethereum’s composability and security, thanks to StarkNet’s reliance on the safest and most scalable cryptographic proof system – STARK
StarkNet Contracts and the StarkNet OS are written in Cairo – supporting the deployment and scaling of any use case, whatever the business logic
I am not involved in this asset but I will start buying it just because if it reaches ATH we will have some nice gains
About Manta Network
Manta Network is the modular ecosystem for web3. Users can build and deploy any Solidity-based decentralized applications on Manta and leverage its technology stack to deliver faster transaction speeds than an L1 and lower gas cost than an L2
Manta was one of the launches on Binance and as we can see the price has stabilise in a trading channel. I am going to buy it at lower end and sell it at higher end and just in case leave some if it breaks up
That is all for part 1 in upcoming days you can expect part 2 or just say it like that as soon as time allows me there will be part 2
Hope you like the reading and enjoyed the article, hopefully learn a thing or two and made some strategy where to swop in
I have nothing but Mad love and respect for you Binance people. Trade safe and stay Goated
#Layer2Revolution #matic #manta #BinanceLaunchpool #BullorBear