Vitalik Buterin shares his ‘visions’ of the use of layer-3 protocols

• Layer 3s would introduce customizable functionality
• the use of Layer 3s in the future

The co-founder of Ethereum, Vitalik Buterin, elaborated on the benefits of employing Layer 3 protocols on Ethereum’s blockchain network. Layer 3s will provide customizable functionality. The existing Layer-2 can hyperscale the network. 

Buterin shared his ‘visions’ about the use of Layer 3s in his blog. He calls these his ‘visions’ for Layer 3. 

The addition of the 3rd layer is useful only if it provides a different function from the existing 2nd layer. The second layer uses zero knowledge (zk) Rollup technology to enhance scaling. 

In his blog, he refers to the layers as L2 (2nd layer) and L3 (3rd layer). Probable uses of the 3rd layer according to Buterin:

1. Instead of all layers employed for scaling, one layer will be used for scaling, the others can be used for other functionalities. Buterin gives the example of privacy for this added layer. 
2. “L2 is for general purpose scaling, L3 is for customized scaling.” customized scaling may take different forms: specialized applications that use ‘something other than EVM or Ethereum Virtual Machine for computation…’
3. The third is the use of L3 for “weakly-trusted scaling” via Validiums which use ‘SNARK’ or Succinct Non-Interactive Argument of Knowledge for computation verification.

Buterin also said that layer 3 could be used for “weakly-trusted” scaling through Validiums, a zk-proof technology. Buterin said this may be beneficial for “enterprise blockchain” applications by using “a centralized server that runs a validium prover and regularly commits hashes to chain.”

But, Buterin added that it’s still unclear whether layer-3 structures will be more efficient than the current layer-2 model when it comes to building customized applications on Ethereum.

At the end, the 28 year old discussed what a Layer was. He suggests Layer 2 be restricted to 3 properties:

1. Their purpose is to increase scalability
2. They follow the “blockchain within a blockchain” pattern: they have their own mechanism for processing transactions and their own internal state
3. They inherit the full security of the Ethereum chain”

Nancy J. Allen

Nancy J. Allen is a crypto enthusiast, with a major in macroeconomics and minor in business statistics. She believes that cryptocurrencies inspire people to be their own banks, and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning. She frequently researches, and posts content on the top altcoins, their theoretical working principles and technical price predictions.