LAYER 2 STRATEGY

Footnotes

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Description

For mass adoption, Ethereum has to scale and must reduce fees. Layer 2 protocols, specifically rollups (Optimistic and Zk) , help scale the Ethereum ecosystem by offloading the execution from Layer 1 to Layer 2. Consensus is still settled on Layer 1 (e.g. The Settlement Layer). The strategy below, identifies Layer 2 protocols and DApps that support scaling. By using these protocols and DApps, you qualify for potential airdrop tokens. Most likely - as a competitive necessity and a way to bootstrap their ecosystem - these protocols will provide a token to incentivize their community.

Save Money: If you have Binance, you can now directly bridge from Binance to Arbitrum. You will save from the Ethereum Layer 1 gas fees. Once on Layer 2 Arbitrum you can start bridging/swaping using the Layer 2 Bridges (Hop/Connect)

Example: Binance → Arbitrum → use Hop/Connext→ Optimism → use Hop/Connect → Polygon → use Hop/Connect → Arbitrum

Risk: All Layer 2 protocols are new and most are still in beta, THUS VERY RISKY. The biggest risk (like with Layer 1 or any Blockchain) is the counter party risk which is the smart contract. Only time and usage will prove (or expose) the safety of these smart contract. BE VERY CAREFUL. Supply an amount you are willing to lose (like 100% lose).

Note: This table will change often.

LAYER 2 PROTOCOLS | DApps

LAYER 2 PROTOCOLS | DApps

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