Ethereum Layer-2 solutions implemented by Coinbase

Description

Coin base adds layer-2 solutions to wallet Uses the Optimism’s Optimistic Rollup testnet Popular crypto exchange platform, Coinbase has added a Layer 2 solutions to transactions carried out on its Ethereum platform to enable a quicker and cheaper level of transactions. The company which made the integration known via an announcement made on its twitter … Read more

  • Coin base adds layer-2 solutions to wallet
  • Uses the Optimism’s Optimistic Rollup testnet

Popular crypto exchange platform, Coinbase has added a Layer 2 solutions to transactions carried out on its Ethereum platform to enable a quicker and cheaper level of transactions.

The company which made the integration known via an announcement made on its twitter handle said they were excited to be doing what they can to make Ethereum scale.

Ethereum scaling has seen rapid growth in the previous week, especially with the announcement of Coinbase keying in with Optimism’s Optimistic Rollup testnet. This integration, it was made known, would allow users to view their transactions and check their balances on the testnet.

How layer-2 solutions work

Layer 2 solutions are protocol technologies that have been programmed to move part of the on-chain transaction and put it off-chain to enable a faster, cheaper, and more efficient transaction network.

The layer-2 solutions would also enable exchanges or DeFi apps that move into it to have increased output and a reduced level of obstruction in the ETH network’s speed.

The Optimistic Rollup testnet would be using a cryptography key that would enable users to safely and securely view their balance and carry out transactions off-chain.

The overall goal of the Layer-2 solutions is to ensure a rapid drop in the amount of congestion that often leads to an increase in transaction fees. Due to the high level of congestion in recent times, users of the ETH network have become more aware of how much pain the level of congestion can cause and, as such, would see developments like this as a welcome one.

Presently, transaction fees have dropped to a meager $2, but this is still considerably high when other factors are considered.

Leave a Comment