Layer 2 solutions such as Arbitrum, Starknet, Immutable X, and Nervos are effectively scaling Ethereum to meet rising demand. These solutions are utilizing cutting-edge rollup technologies to enable faster transactions and lower costs, while also providing developers with the tools they need to create more efficient decentralized applications (dApps).
Arbitrum, an Ethereum Layer 2 protocol, is at the forefront of this movement. It is utilizing low fee transactions through optimistic rollups, moving computation and storage off-chain to allow the network to scale efficiently. Arbitrum is compatible with existing Ethereum contracts, requiring no code modifications, which makes it particularly appealing to developers. The ARB token, used for governance, allows token holders to vote on protocol upgrades and treasury allocation. Additionally, the recent introduction of Stylus by Offchain Labs has enabled the deployment of programs written in Rust, C++, among others. This, along with the upcoming Orbit layer 3 solution and increased validator inclusion, has further extended Arbitrum’s roadmap.
Immutable X, another Ethereum Layer 2 solution, is focusing on the scalability of Non-Fungible Tokens (NFTs). The platform utilizes zk-rollups to enable instant trading, high throughput, and zero gas fees for minting or trading. By leveraging Ethereum’s base layer, Immutable X allows developers and users to maintain full security. The protocol also supports third-party marketplaces and offers a shared order book to promote liquidity. Moreover, connectors can be used to link a wallet on any network without having to switch networks, easing the onboarding process for creators and players.
Starknet, a Layer 2 permissionless platform, is enhancing dApp scalability through ZK-Rollups and STARK proofs. The smart contracts are programmed using Cairo, a specialized programming language for developers. Starknet isolates computation on Layer 2, reducing the gas fee and maintaining Ethereum composability. This makes the Starknet OS an efficient platform for a range of use cases. The network also provides a wealth of resources for developers, meeting the growing demand for efficient decentralized applications.
Lastly, Nervos Network achieves both secure and scalable blockchain operations through its dual layer architecture. The Common Knowledge Base (CKB) serves as the base layer under the Proof-of-Work (PoW) mechanism, utilizing CKByte (CKB) as its native currency. The second layer handles computation and smart contract execution. This design allows for secure data sharing between layers, promoting decentralization. Further, Nervos’ open source structure fosters innovation and entrepreneurship in both the developer and enterprise segments.
Each of these Layer 2 solutions offers unique benefits, but all are contributing to the scalability and efficiency of Ethereum. As the demand for faster transactions, lower costs, and developer-friendly tools continues to rise, these solutions are poised to lead the way.
