I just saw that quite a few of you are asking about the differences between these blockchains, so today I’ll explain them clearly so you can understand better.

First, what is L2, and how is it different from L1? Basically, L1 refers to independent blockchains with their own systems from the start. Bitcoin, Ethereum, and other major networks are all L1. They’re built from the ground up, carrying the vision of their creators.

But the issue is that these L1s have certain limitations—speed, transaction fees, or scalability. That’s why L2 was created. L2 are blockchains built on top of L1, but designed to address those shortcomings. For example, Optimism, Arbitrum, Mantle—they operate based on Ethereum, but are faster and cheaper.

There’s another layer called L0—an underlying network framework that allows different L1 and L2 solutions to be connected with each other. Polkadot, Cosmos, and Avalanche are examples.

What’s interesting is that in recent years, L2 projects have attracted a lot of attention from investors. If you only focus on Bitcoin or Ethereum, you might be missing other opportunities. Many people are looking more closely into L2 tokens with lower market caps, because they have greater potential for growth in the future.

Actually, a chiến l略hơn way to look at it is to thoroughly research these projects, carefully evaluate them before investing in anything. If you’re interested in this topic and want to learn more about potential tokens in the L2 space, you can check out those projects on Gate.