Layer 2
A scaling solution built on top of a Layer 1 blockchain to make transactions faster and cheaper.
A Layer 2 is a network built on top of a main blockchain (Layer 1)
that helps process transactions faster and more cheaply.
It takes some of the workload off the main chain (like Ethereum)
by handling transactions off-chain and then sending summaries back
to the Layer 1 for final verification.
Examples
- Arbitrum, Optimism, and Base (built on Ethereum)
- Lightning Network (built on Bitcoin)
Why it matters
- Reduces network congestion
- Makes transactions cheaper
- Keeps security from the Layer 1 base chain
Without Layer 2s, popular blockchains like Ethereum
would become too slow and expensive to use for everyday activity.
💡 Lanzo Tip
When using Layer 2s, always double-check the bridge address
before transferring funds — sending coins to the wrong network
is one of the most common crypto mistakes 🚫