As digital assets continue to reshape the financial landscape, stablecoins have emerged as a crucial bridge between traditional finance and decentralized finance (DeFi). For financial practitioners, understanding how stablecoins work — their classifications, risk profiles, and...
Historically, before rollups existed, anything that helped scale Ethereum was loosely called “Layer 2.”This included:
sidechains (Polygon PoS)
plasma chains
state channels
But over time, the definition of a true Layer 2 has become much stricter.
✔️ Modern Definition of a...
Layer 2 scaling solutions fall into two broad categories:
Rollups (Optimistic Rollups, ZK Rollups)
Sidechains (independent blockchains connected to L1)
While they can look similar from a...
