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I've noticed that many people get confused about how the blockchain architecture is structured. Let's clarify the levels L0, L1, L2, and L3 — it's actually a logical system.
It all starts with L0. This is the most basic level, the foundation of everything else. L0 is essentially the blockchain chain where transactions are stored. Each block is linked to the previous one, and this entire structure ensures data integrity and security. Without L0, there would be nothing.
Interestingly, L0 doesn't just exist on its own. It allows different L1 blockchains to interact with each other, transferring assets back and forth. It creates a system where each level is built upon the previous one, adding new capabilities.
There are several examples. Take Polkadot — a typical L0 where developers can create their own L1 blockchains. It operates through a relay chain and parachains. DOT is currently trading at around $1.32, up 4.28% for the day. Not bad.
Avalanche is also an interesting project, although it’s structured a bit differently. It’s an open blockchain for DeFi applications. AVAX is now worth $9.44, with minimal change over 24 hours — plus 0.39%. But it’s a serious project.
And then there’s Cosmos — a scalable ecosystem where anyone can create their own autonomous blockchain for specific applications. They connect easily with each other. ATOM shows growth — $2.14, up 7.15% for the day.
See, the L0 level isn’t just a technical feature. It’s a concept that allows the entire ecosystem to develop. Each of these projects demonstrates different approaches to building a network. If you're interested in this topic, you can check the quotes on Gate and explore further.