Layer 2

Handling transactions off the main chain to cut fees and congestion

In detail

Most of the activity is batched outside the main blockchain and only the result is written back. Fees drop and settlement speeds up, though moving funds back can carry delays or conditions. Its security ultimately rests on the chain underneath.

Example

A transfer costing $500 on the main chain can cost a small fraction of that on layer 2.

Related terms

Read in the app (App Store)

For learning, not investment advice. Decisions are your own.

StockFit · TrueNorthLabs Inc.