Original Source: Gate.io Research Institute
Gate.io Research Institute has released today a report titled "Layer2 Scalability Technology: Current Status and Outlook," describing the increasing demand for blockchain transaction speed as blockchain technology expands into various industries. The focus on blockchain scalability technology has been growing, and various scaling solutions have been developed and improved. Currently, common scalability solutions are being developed at Layer 0, Layer 1, and Layer 2 respectively, with different blockchains choosing different scaling solutions based on their development needs. In the report, Gate.io Research Institute analyzes the two mainstream Layer 2 scalability technologies, state channels and sidechains, and discusses their future prospects through a comparison of the Lightning Network and Plasma.
Key Points of the Article:
◆ The key challenge in the development of scalability technology lies not in scalability itself, but in how to improve scalability while ensuring both "security" and "decentralization";
◆ Existing Layer 2 scalability technologies such as state channels, sidechains, Tenfold Protocol, etc., each have their own targeted use cases but have not yet achieved the most ideal state;
◆ The Lightning Network and Plasma are respectively the scaling solutions for state channels on Bitcoin and sidechains on Ethereum, each achieving scalability but facing different issues;
◆ For the Lightning Network, balancing the relationship with Bitcoin blockchain security will be one of the key research topics for its future development, and achieving convenient and fast payments is one of the crucial routes for Bitcoin's future development;
◆ For Plasma, the goal is to achieve the security of off-chain transactions in an unmonitored state. However, the technical development difficulty is high, and integrating other research solutions will help make breakthroughs sooner.
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