At the time of writing, 145K transactions are pending to be included in the Ethereum network. The surge in adoption of the Ethereum network, together with ETH price appreciation, has boosted the dollar costs of gas fees, resulting in an unfriendly experience for retail users. Layer 2 solutions aim to increase the network throughput by building ‘on top’ of Ethereum, without affecting the decentralization or security characteristics of the underlying blockchain.

Each solution has its own considerations and tradeoffs to consider, including throughput, transaction cost, security, scalability, functionality, amongst other things. However, no single Layer 2 solution fulfills all needs.

Amber Group

We help our clients buy and sell cryptocurrency products, earn yield, manage risk and access liquidity.

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store