Vitalik Buterin maintains his skepticism towards Layer 3 networks, arguing that they don't inherently enhance throughput. While acknowledging that L3 networks can economize fixed expenses, he suggests there are more efficient approaches. The classification of L3 and L2 networks remains unresolved, with Polygon CEO Marc Boiron asserting that L3s detract value from Ethereum, while others contend that L2 value benefits the Ethereum ecosystem.
Ethereum Co-Creator Vitalik Buterin Delves into the Nuances of Layer 3 Networks
Vitalik Buterin, the renowned co-founder of the Ethereum blockchain, recently expounded on his views regarding Layer 3 (L3) networks, emphasizing that they do not inherently enhance throughput. In a social media post on platform X, Buterin shared an article he authored approximately 18 months ago, which posits that L3 networks primarily alleviate certain fixed costs associated with batch publishing and deposits/withdrawals.
However, Buterin contends that more efficient approaches exist for realizing these cost savings, obviating the need for L3 networks. Furthermore, he asserts that the precise demarcation between L3 and Layer 2 (L2) networks remains a subject of ongoing debate, particularly given the nascent and evolving nature of the multi-rollup ecosystem.
In contrast to Buterin's perspective, Polygon CEO Marc Boiron proffers a divergent opinion. In a recent post on platform X, Boiron contends that L3 networks serve solely to divert value from Ethereum to the underlying L2 networks upon which they are built.
Boiron's assertion drew a challenge from a commentator who argued that L2 networks on Ethereum intrinsically contribute value to the Ethereum ecosystem. Boiron countered this argument, stating that the value accrued by L2 networks cannot be equated to Ethereum value. He postulates that if all L3 networks were to settle on a single L2 network, Ethereum would essentially capture a negligible amount of value, jeopardizing its security.
Presently, the L3 ecosystem comprises a relatively small number of key players, including Orbs, Xai, zkSync Hyperchains, and the recently launched Degen Chain on Arbitrum Orbit, which are built upon solutions provided by L2 networks. It is noteworthy that this sector remains in its early stages of development.
Buterin's article on L3 networks delves into a nuanced discussion of their potential benefits and limitations. He acknowledges that L3 networks can reduce certain fixed costs, but he maintains that this can be achieved through alternative, more efficient mechanisms. Buterin also emphasizes that the classification of L3 networks is still an open question, given the ongoing evolution of the multi-rollup ecosystem.
The contrasting viewpoints expressed by Buterin and Boiron highlight the ongoing debate surrounding L3 networks and their role within the broader Ethereum ecosystem. As the ecosystem continues to evolve, it remains to be seen whether L3 networks will gain traction or whether alternative approaches will prove more effective in maximizing cost savings and enhancing the overall functionality of the Ethereum blockchain.
