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How Do Layer 2 Scaling Solutions Address the Throughput Issue?

Layer 2 solutions, such as rollups (Optimistic and Zero-Knowledge), process transactions off the main blockchain (Layer 1) and then bundle the results to be submitted back to Layer 1 for final settlement. This significantly increases transaction throughput and reduces transaction fees on the main chain.

By handling the bulk of computation off-chain, Layer 2 solutions allow the main chain to focus on security and decentralization.

What Are ‘Layer 2’ Scaling Solutions for the EVM?
How Do ‘Layer 2 Scaling Solutions’ Aim to Alleviate Mempool Congestion?
How Do State Channels Handle Disputes If Participants Disagree on the State of an Off-Chain Derivative Contract?
How Do Layer 2 Scaling Solutions Address the Limitations of Smart Contracts?