Vitalik Buterin, the co-founder of Ethereum, which recently migrated to Proof-of-Stake (PoS) is already thinking about Layer 3, sharing what he believes would be the future of blockchain scaling.
Buterin on Layer 3
The base layer of a blockchain network such as Ethereum, Cardano, or Solana, is referred to as Layer 1. Layer-2 solutions are built on Layer-1 blockchains to provide better scalability for the base layer.
Buterin believes that a layer 3 solution would only make sense if used for different purposes other than scaling. Hence, layer 3 solutions cannot consist of stacked rollups as it would lead to inefficient data compression.
Buterin Shares His Vision for Layer 3 Solutions
In a blog post titled “What kind of layer 3s make sense?” Buterin explained that Layer 3 solutions can be implemented in privacy-focused chains by utilizing zk proofs to submit private transactions to layer 2.
According to Buterin, layer 3 solutions can also be built around non-EVM platforms, customized scaling solutions for specific applications, or validiums (which are another kind of roll-up).
Buterin’s comments on possible layer 3 use cases come as StarkWare’s newly produced recursive validity proofs appear to have possibly put an end to Ethereum’s scalability concerns.
On the Flipside
- Vitalik Buterin has also argued that decentralized autonomous organizations (DAOs) shouldn’t resemble corporations.
Why You Should Care
Since layer 2 solutions on the same network efficiently perform cross-border transactions, layer 3s may not improve the efficiency of the network.
To understand blockchain networks, read:
Layer 1 vs Layer 2: Understanding How Blockchain Scaling Solutions Work
Read about the Ethereum transition below:
Ethereum Is Now a Proof-of-Stake Network After Merge Goes Off Without a Hitch