What are Layer 1 & Layer 2 crypto tokens?

Listed below are top Layer-1 and Layer-2 crypto tokens. Layer-1 crypto projects refer to primary blockchain networks that house decentralized applications. Layer-2 crypto projects refer to scaling solutions that run on top of an existing primary network.

What is the difference between Layer 1 & Layer 2 blockchains?

While Layer-2 solutions address scalability and speed, Layer-1 blockchains remain the bedrock, ensuring security, decentralization, and foundational infrastructure for the crypto world. The relationship between Layer-1 and Layer-2 solutions is symbiotic.

What is layer 2 & how does it work?

While Layer-2 enhances performance, it relies on the security and decentralization of Layer-1 blockchains. Both layers are evolving together. Improvements in Layer-1, like sharding in Ethereum, can enhance Layer-2 performance. Similarly, successful Layer-2 solutions can inform and inspire Layer-1 upgrades.