Ethereum Scaling Solutions: How Do the Layer-2 Protocols and Sidechains Differ. Ethereum has become a victim of its own success.
31 Aug 2021, 08:00
Ethereum Scaling Solutions: How Do the Layer-2 Protocols and Sidechains Differ?
Ethereum has become a victim of its own success. It worked fine for years when a relatively small number of crypto enthusiasts were interacting with the blockchain. But the DeFi and NFT boom over the last year has grabbed the attention of the masses, with millions of users and developers entering the space to take advantage of new opportunities.
Demand for Ethereum shot through the roof, but the network was clearly unable to handle the influx of new users. The countless transactions and other interactions on Ethereum-based DeFi apps, NFT platforms, and games are clocking up the chain. Network congestion and astronomically high fees have become a serious issue for users and developers.