Hi everyone, this is Lucky Ali, and welcome to my other blog post. There are terms like layer 1 and layer 2, but not everyone can understand them. If you are in the cryptocurrency field, then you should be aware of this. Here I want to give you a great example. So there is Mumbai city, and there are many main roads. You can see those highways are busy with traffic, so we can call that highway layer 1, and to ease the traffic, there are flyovers and overbridges, so these things are called layer 2. Now I hope this concept is clear in your mind. There are two things: the road is the foundation, and other things help the road ease traffic.
Understaing about Layer 1?
We can call it the foundation, and it is the main blockchain network. For example, there is the Ethereum network that has ERC-20, and many tokens are built on that. Hive is also considered layer 1 because it has the Hive blockchain, and there is data storage too, so Hive is considered layer 1. When the user base increases, transactions become slower, and that is what happened on Ethereum. To solve this issue, developers shift towards layer 2. So this is the example of layer 1.
Layer 2's definition and how it works?
When it comes to layer 2, we can call it a secondary framework to increase efficiency. Talking about increasing the speed of transactions in blockchain and at the same time reducing cost, layer 2 works there. If you are thinking that layer 2 replaces the whole blockchain, then you are wrong because it works along with the main network. It is connected to layer 1 directly. You can check the multiple examples of it, and the polygon on Ethereum is one of them. Ethereum userbase has seen rapid growth, which is why it was much needed there. So you can check multiple examples of that in crypto to understand it.
Both layer 1 and layer 2 play major roles
As I told you, both are important; the one is the road, which means foundation, then the other one is a great support, and I have also provided you with a great example to understand it clearly. Layer 2 becomes extremely important when there is more traffic and a slow speed. It happens when the network is not able to handle so many transactions.
Conclusion
So this is the Difference Between Layer 1 and Layer 2 Blockchains and If you have something to say regarding this information, then let me know in the comment section, and also share this information using relevant tags. I will meet you in my next blog. Till then, take care and goodbye.
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 | Hi I am lucky ali from gujarat, india. I am a crypto enthusiast, blogger, and SEO developer. You can find me on hive, twitter and discord (Lucky Ali#6343). Sharing is caring. Thank you, hive family ♥ |
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