Scaling blockchains with Layer 2 technologies

Quick Take

  • The limited scalability of Ethereum has led to rising transaction fees. Users often pay ~$50 for standard interactions with many popular smart contracts.
  • Scaling transaction throughput on blockchains is challenging because transactions must be processed by every node participating in consensus.
  • The most promising Layer 2 scaling solutions are ZK Rollups and Optimistic Rollups, which have been developed to address the weaknesses of previous Plasma implementations.

This research piece is available to
members of The Block Genesis.
You can continue reading
this Genesis research on The Block.

Scaling blockchains with Layer 2 technologies written by Mika Honkasalo @ August 12, 2020 Mika Honkasalo

Comments are closed.