Customizable application-specific networks allow Web3 builders to optimize efficiency with out sacrificing safety.
Scaling options within the type of Layer 2 blockchains have grow to be a mainstay in trendy DeFi over the previous two years. Because the blockchain ecosystem and its person base proceed to develop, builders are constantly trying to enhance their functions’ efficiency.
Layer 2 networks permit DeFi protocols to supply their customers extremely low transaction charges in comparison with Ethereum mainnet with out sacrificing the safety ensures of the underlying Layer 1 blockchain.
Whereas these charges are engaging to the present shopper base, Layer 2’s are nonetheless inclined to points similar to community congestion and lack of customizability. Many dApps that count on to scale to huge shopper bases will demand a excessive quantity of concurrent transactions and can even require extra area of interest features that might not be best for different dApps co-existing on the Layer 2.
Layer 3 blockchains provide dApps a extremely customizable and interoperable community that’s constructed on prime of a Layer 2. With this customizability, builders can implement options for focused necessities and may unfold out the workload that comes with extraordinarily excessive transaction volumes. Having the ability to goal area of interest options and points permits for complicated dApp design that may enhance each efficiency and accessibility for customers, whereas nonetheless inheriting the safety advantages of the underlying Layer 1.
Most main Layer 2s, together with Arbitrum and Optimism, have launched tooling to make it straightforward for builders to deploy bespoke Layer 3s.
Use Circumstances for Layer 3 Blockchains
Layer 3 blockchains act as an utility layer for customers, the place every growth crew can customise the chain as per their wants. Via specialised performance, Layer 3 expertise is a perfect match for Web3 niches similar to blockchain gaming, DeFi functions, and privateness functions.
When contemplating dApps similar to blockchain video games, with a view to scale appropriately to the patron gaming market, the community should be capable of deal with a whole bunch and even 1000’s of microtransactions directly, which might result in community congestion points on both a Layer 2 or a Layer 1. The Layer 3 answer permits the community to solely cater to the sport(s) using the precise chain, which turns into way more predictable and manageable.
Wanting Forward
Whereas Layer 3s stay largely out of the limelight, they current a vital utility and interface layer for decentralized functions that plan to scale to mass market audiences. The Layer 3 answer can bypass points confronted in L1 and L2 ecosystems, similar to interoperability, customizability and community congestion, with out sacrificing safety or integrity.
Given the small dimension of the trendy DeFi market, there isn’t an awesome demand for his or her implementation fairly but. Nevertheless, as person bases start to scale, and protocols look to push extra revolutionary options, the eventual want for Layer 3 blockchains turns into way more obvious.