How can different L2 chains coexist?

Different Layer 2 (L2) chains coexist by leveraging the foundational Layer 1 (L1) chains, like Ethereum, while providing scalability and additional functionality. Here are some key points on how they coexist:

1. Satellite Chains: L2 solutions can act as satellite chains that directly bridge to the main chain. This setup allows applications to operate primarily on L2 while still interacting with L1 as needed. This relationship is crucial for balancing functionality and security, with many applications adopting their own L2 systems to improve scalability 1.

2. State Channels: Technologies like state channels facilitate transactions off-chain and only settle final states on the main chain. This reduces congestion on L1 by handling numerous transactions off-chain, but still ensures finality and security when settling on L1. For instance, Polygon collaborates with Connext to bridge assets and liquidity across various L2 chains, enabling them to function seamlessly together 2.

3. Periodic Check-ins: Some chains operate in a more nuanced manner, periodically checking in with the main chain for data validation while maintaining their data off-chain for cost efficiency. This method helps in maintaining a balance between security and operational efficiency 3.

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     1

     The Future of Ethereum

     01:25:41
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     2

     Bridging Layer 2s

     00:42:43
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     3

     Gnosis Chain Dynamics

     01:03:19

In summary, L2 chains coexist by using L1 for security and settlement, while their main operations and optimizations occur off-chain, thus ensuring scalability and efficiency in the blockchain ecosystem.