In recent years, Layer-2 solutions promised to enhance blockchain scalability, yet they face significant drawbacks that compel developers to transition to appchain solutions.
Disadvantages of Layer 2
Despite fast and cheap transactions, Layer 2 (L2) struggles with retaining the value they create. The core issue is that value generated on L2 flows back to the parent blockchain, leading to liquidity loss and dependencies on the parent chain. These ongoing overheads significantly restrict the growth and sustainability of L2 projects.
Advantages of Appchain L1
In contrast to L2, appchains at Layer 1 (L1) are designed to retain the value they generate. By launching their own chain, developers gain full control and can accumulate economic activity without leaking to other networks. This creates a more sustainable growth model, allowing projects to customize their infrastructure to meet needs while maintaining independence in governance and tokenomics.
Market Trends
In recent years, the number of projects choosing the appchain route has increased. Autonomy, economic sustainability, and the ability to build infrastructure around users have become top priorities for developers. While L2 will not disappear, long-term success necessitates searching for sustainable solutions focused on independence to avoid resource leakage.
Shifting from Layer 2 to Appchain L1 is a crucial step toward creating sustainable blockchain projects. Developers are beginning to recognize the need for autonomy and control over their economy and infrastructure.
