Learn Concept: Understanding Layer-2 Solutions in Cryptocurrency

By: Isha Das

Layer-2 solutions are mechanisms designed to help scale the primary blockchain network by handling transactions off the main chain. Bitcoin and Ethereum, two of the most popular cryptocurrencies, have been actively exploring these solutions to manage their increasing transaction volumes.

A Blockchain solution, named Arbitrum, is now being utilized by ApeCoin's Bored Ape ecosystem to develop an Ethereum layer-2 network focused on gaming. The decision, made by the ApeCoin DAO, marks a significant step forward in enhancing gaming within the Bored Ape Yacht Club ecosystem.

In addition, another prevalent crypto network, Tron DAO, has announced a roadmap for developing a Bitcoin layer-2 solution. This announcement comes amidst ongoing advancements in blockchain technology, funding, and deals.

Through these examples, we can see that layer-2 solutions are becoming increasingly significant in blockchain development and are paving the way to a more efficient crypto future.