Base Layer 2

Definition ∞ Base Layer 2 refers to a scaling solution built on top of a foundational blockchain, known as Layer 1, to improve its performance. These solutions handle transactions off the main chain, reducing congestion and transaction costs on the primary network. Examples include rollups, sidechains, and state channels. Their primary function is to increase throughput and efficiency without compromising the security of the underlying Layer 1 blockchain.
Context ∞ The expansion of Layer 2 solutions is a prominent development in the blockchain space, addressing the scalability limitations of networks like Ethereum. Discussions frequently center on the security trade-offs, interoperability between different Layer 2s, and the user experience they provide. Future growth of decentralized applications often relies on the continued advancement and adoption of these scaling technologies.