Layer 2 blockchain solutions, including sidechains, state channels, Plasma, and rollups, address scalability issues by processing transactions off-chain before finalizing them on the main blockchain. Optimistic and ZK-Rollups provide further optimization.These solutions enhance the performance and efficiency of the underlying blockchain network, reducing congestion, lowering fees, and improving transaction speeds. By utilizing techniques such as off-chain processing and aggregation, Layer 2 solutions enable blockchain platforms to scale to accommodate a larger user base and handle increased transaction throughput while maintaining security and decentralization. Layer 2 blockchain solutions are essential for unlocking the full potential of blockchain technology and supporting diverse applications.
