As the number of users in Ethereum blockchain is increasing every day, there is a need to enlarge the network. This required enlargement is defined as layer 2 scaling on Ethereum network blockchain. This solution is going to prevent cost driving up. Scaling actually consists of different approaches that achieve the same goal.
Nowadays, there are more than 1 million transactions which is thanks to being decentralized. However, this feature has victimized the network and driven up the transaction fee for the users. As a result, layer 2 has been introduced to scale the blockchain.
Notable Layer 2 networks
Polygon is a network that develops Ethereum-based blockchain networks. The platform also improves flexibility for developers and the security of Ethereum. Polygon has its own token which is called Matic.
Arbitrum is another solution for Ethereum scaling which introduces interoperability. These features facilitate it for Solidity developers to cross-compile their smart contracts. The three components of Arbitrum are a compiler, the EthBridge and validators.
Optimism is also another example of scaling solution for Ethereum which makes it affordable. It can also assure number of improvements in transaction speed for the users.
Immutable-X which is first layer 2 scaling solution for NFTs and Ethereum. It offers instant trade confirmation, zero gas fees, impeccable scalability and provides this without compromising on user custody.
X-Dai is a sidechain based on Etherum and supports users in processing transactions at economical costs and faster speeds.
The other solutions that have been applied in layer 2 of Ethereum are Cannels, Plasma, and Sidechains. Generally, layer 2 is a collection of different solutions to enlarge scalability in Ethereum in order to decrease transaction fees and also make them faster.