CandleFocus

Most Layer 2 solutions are still struggling with scalability and cost challenges | Opinion

Author: Content Editor
The Ethereum ecosystem is struggling to compete with alternatives like Solana due to scalability and cost issues with its layer 2 (L2) solutions. L2 solutions have not delivered the anticipated scalability and cost advantages, leading to meme projects favoring Solana for its low fees, high transaction speed, and user-friendliness. Ethereum's architectural limitations, including a single-threaded design, hinder scalability, while L2s inherit these limitations, resulting in low efficiency. Unstable fees during high network activity and a lack of interoperability between L2s further contribute to the challenges. To address these issues, Ethereum L1 needs to enhance interoperability and undergo architectural updates to adopt parallel execution. Only by doing so can Ethereum L2s achieve the scalability needed for widespread adoption and compete with emerging blockchains like Solana.

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