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Layer 3 blockchains are additional layers in blockchain architecture, primarily designed to address the limitations of Layer 1 and Layer 2. Layer 1 blockchains focus on security and decentralization, while Layer 2 blockchains focus on increasing scalability and transaction speed. Layer 3 blockchains support privacy, interoperability, and decentralized applications. Some examples of layer 3 blockchains include IBC on Cosmos, zkSync Hyperchains, Arbitrum Orbit, Degen Chain, and others.
Here are some of the benefits of Layer 3 blockchains:
1. Side chains enable lower fees
2. Increased scalability of the main blockchain
3. Improved performance of layer 1 and layer 2 blockchains
4. Enabled interoperability.
Here are some of the benefits of Layer 3 blockchains:
1. Side chains enable lower fees
2. Increased scalability of the main blockchain
3. Improved performance of layer 1 and layer 2 blockchains
4. Enabled interoperability.