Use Case : What Problem Is Alphabyte Solving?

Layer 2 is a broad, catch-all term used to describe scaling solutions built on top of an existing L1 blockchain. The primary advantage of using an L2 solution is that the base chain remains unaffected by what is built atop it. Any issues that happen “up the stack” (e.g. on another layer) will not compromise the base layer—rather, L2s exist as off-chain environments that interact with a connecting smart contract on the L1.

Because of this, the L1 serves as the security and consensus layer that secures and stores data transactions on the immutable blockchain ledger. Rollups, like Alphabyte, are the latest advancement in the Ethereum L2 landscape.

Rollups can extend the utility of Ethereum outwards, letting users enjoy increased scalability that still offers all the same benefits, dApps, and security that they have come to expect on the Ethereum base layer. Additionally, they can enable builders to tailor their tooling to their needs, meaning they can decide for themselves where their product sits on the scalability trilemma. Tradeoffs between speed, finality, and transaction cost can be developed, just like in competing alternative L1s. For the most valuable transactions, users can choose the main chain where security and censorship resistance are highest, and for low-value transactions, a gaming sidechain may suffice. L2s allow the user to maintain control without compromising the underlying blockchain, preserving decentralization and finality.