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What Are Layer-3 Networks, and How Do They Work?

Different types of blockchains exist, the most popular ones being layer-1 (L1) and layer-2 (L2). This article, however, focuses on layer-3 (L3) blockchains. Read on to learn what they are and how they work. Exploring Layer-3 Blockchains A layer-3 network is a protocol built atop base layers to offer a customized solution to users’ specific

Andrew Richard3 min read

What Are Layer-3 Networks, and How Do They Work?

Different types of blockchains exist, the most popular ones being layer-1 (L1) and layer-2 (L2). This article, however, focuses on layer-3 (L3) blockchains. Read on to learn what they are and how they work.

A layer-3 network is a protocol built atop base layers to offer a customized solution to users’ specific needs. It is developed on the foundations of both layer-1 and layer-2 blockchains. Layer-3 networks are intended to improve functionality for DApps (decentralized applications) by addressing the limitations of L1 and L2 blockchains.

Typically, layer-2 networks scale layer-1 blockchains, whereas layer-3 networks link different blockchains, thus facilitating seamless communication between them.

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