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Supra Launches Containers to Make Layer 2 Solutions Obsolete

Supra Launches Containers to Make Layer 2 Solutions Obsolete

DailyCoinDailyCoin2024/10/11 07:39
By:DailyCoin
  • Supra introduces Containers, challenging Layer-2 solutions. 
  • Containers provide shared liquidity and composability.
  • Liquidity is a major shortcoming of L2s. 

Scalability has long been a major issue with blockchain networks. For instance, Ethereum has long struggled with high fees and slow execution in times of large traffic. 

To fix this issue, Layer-2 (L2) scaling solutions have emerged to offload traffic from the main network. However, L2s have their challenges, including fragmented liquidity and security concerns. For that reason, Supra launched Containers, its scaling solution that could make L2s obsolete. 

Supra’s Containers Want to Make L2s Obsolete

L2 scaling solutions are getting a major competitor. On Tuesday, October 8, Supra , a high-performance L1 blockchain, unveiled a new scaling alternative. Supra Containers offer an alternative to L2s without many of their drawbacks. 

Sponsored

Currently, Ethereum relies on Level 2 scaling solutions to offload traffic to improve scalability. However, L2s have their own set of issues. L2s expose users to security risks, less efficient trading, and diminished user experience. 

For one, users must navigate through cross-chain bridges, which are notoriously prone to hacks. Moreover, L2s also fragment liquidity, making them less efficient for traders. This is especially an issue when trading smaller tokens.  

How Supra Containers Fix L2 Issues

Supra Containers present an alternative to this model. These containers offer a space for separate tokenomics and dApp developments integrated into Supra’s base chains. Critically, they tap into Supra’s liquidity and use its base L1 chain to secure transactions. 

Furthermore, Supra Containers have the potential to take on L2s due to their multi-virtual machine (MultiVM) compatibility. Developers can build dApps compatible with Ethereum’s EVM , MoveMV, and soon, SolanaMV. 

These innovations are likely to put pressure on L2s to continue innovation. After the launch of ZK rollups , L2s have fixed a crucial challenge, leveraging Ethereum to secure transactions. Supra Containers will likely put further pressure on innovation.  

On the Flipside

  • The recent Polygon 2.0 upgrade also addresses the liquidity concerns for its sidechains, somewhat similar to L2s. 
  • Supra is still smaller than many L2s on Ethereum. For this reason, the chain will have to grow before offering traders a liquidity advantage. 

Why This Matters

The introduction of Supra Containers fixes several crucial issues with scaling solutions. Moreover, it will spur L2s and other scaling solutions to innovate further. 

Read more about L2s: 
Types of Layer 2: Comparing Different Ethereum Scaling Solutions

Read more about TON’s recent growth: 
TON Network Hits 100 Million Holders: Here’s What’s Driving The Growth

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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