From application to the underlying layer: analyzing the blockchain's L3, L2, L1, and L0 architecture

Are you curious about what L0, L1, L2, and L3 represent in the blockchain world? These four layers are like a skyscraper, from the foundational infrastructure to top-tier application services, each playing a crucial role. Today, let’s delve into this layered blockchain architecture.

🔹L3: Blockchain Application Layer - The World Users Interact With Directly

When it comes to blockchain, most people first encounter the L3 layer. This layer hosts decentralized applications (DApps), decentralized finance (DeFi), non-fungible tokens (NFTs), social media, and various innovative services. L3 is like the “skin” of the blockchain ecosystem, allowing ordinary users to intuitively experience the value of blockchain technology.

At the L3 layer, you can perform lending and borrowing transactions, purchase unique digital assets, participate in social interactions, and more. It integrates privacy protection technologies, decentralized financial protocols, and various gaming ecosystems, transforming blockchain from an abstract concept into everyday applications. The prosperity of L3 directly determines whether blockchain can truly enter mainstream life.

🔹L2: Off-Chain Scaling Layer - The Hub for Improving Transaction Speed

If L3 is the application layer, then L2 is the bridge connecting applications and the underlying layer. L2 solutions build on the first layer protocol without modifying the blockchain’s core protocol, establishing state channels, sidechains, and other solutions to significantly increase transaction throughput.

Specifically, L2 includes several main technical solutions:

• State Channels: Independent transaction channels that can handle numerous transactions off-chain, then submit the final state to the main chain
• Sidechains: Parallel blockchains that share the load of transactions with the main chain
• Lightning Network: Real-time payments based on state channels
• Optimistic Rollup: An optimistic execution and verification architecture
• ZkRollup: Zero-knowledge proof solutions with enhanced privacy

The existence of L2 makes transactions faster, cheaper, and more flexible, representing a key solution to blockchain congestion.

🔹L1: On-Chain Main Layer - The Core Backbone of Blockchain

L1 is the main layer of blockchain, representing improvements and optimizations of the blockchain protocol itself. By upgrading consensus mechanisms, increasing block capacity, and shortening block times, L1 directly enhances the network’s throughput.

Major L1 blockchains include:

• Bitcoin: Uses Proof of Work (PoW) consensus, top security but relatively slower
• Ethereum: Upgraded from PoW to PoS, balancing security and scalability
• Binance Smart Chain (BSC): PoSA consensus with 50 validators, achieving short block times and low transaction fees
• Avalanche: Uses Avalanche consensus, combining speed and scalability

L1 is the foundation of the entire blockchain ecosystem; all L2 and L3 applications depend directly or indirectly on the stability and security of L1.

🔹L0: Underlying Infrastructure - The Invisible Transmission Network

L0 is the cornerstone of the entire architecture, responsible for transmitting data within the blockchain network, much like the fundamental communication protocols of the internet. It employs encryption technologies and distributed storage methods to ensure data integrity and security.

Core applications of L0 include:

• IPFS: Distributed file system that stores data across multiple nodes
• Filecoin: Decentralized storage network based on IPFS
• ERC-20 Standard: Ethereum token standard for token issuance
• ERC-721/1155 Standards: Non-fungible token standards ensuring NFT uniqueness
• TLS/HTTPS: Encrypted communication protocols protecting transmission security

L0 also enables interoperability and cross-chain transactions between blockchains, allowing different chains to communicate seamlessly.

The Complete Pyramid Architecture

Understanding the relationship between L0, L1, L2, and L3 is like understanding the structure of a pyramid: L0 is the solid foundation, L1 is the supporting core, L2 is the optimization layer, and L3 is the top application. Each layer has its unique functions and limitations.

Industry players are continuously breaking through the performance bottlenecks, scalability, and interoperability constraints of blockchain through this layered architecture. As L2 and L3 applications become richer, blockchain technology is gradually moving toward mass adoption.

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