Ethereum Layer 2

Ethereum Layer 2 (L2) refers to scaling solutions built on top of the Ethereum main blockchain (Layer 1) to improve transaction speed, reduce gas fees, and increase scalability — all while maintaining Ethereum’s core security and decentralization.

Layer 2 networks process transactions off-chain, then post the final results back to the main Ethereum chain. This drastically reduces congestion on Layer 1 and allows Ethereum to handle thousands of transactions per second (TPS).

The most common types of Layer 2 solutions include:

🌀 Rollups – Bundle multiple transactions into one (e.g., Optimistic Rollups like Optimism and Arbitrum, and ZK-Rollups like zkSync and StarkNet).

⚡ State Channels – Allow participants to transact privately off-chain and settle the final state on-chain.

🌉 Sidechains – Independent blockchains connected to Ethereum through bridges (e.g., Polygon).

Layer 2 has become essential for DeFi, NFTs, gaming, and microtransactions, making Ethereum faster, cheaper, and more usable for millions.
In 2025 and beyond, Layer 2 networks are expected to be the backbone of Web3 mass adoption, with upgrades like EIP-4844 (Proto-Danksharding) bringing even more efficiency.