What is a Layer 1 & Layer 2 Network?

Layer 1 is the main blockchain network, like Ethereum or Bitcoin, where transactions and data are stored directly on the chain. Layer 1 is secure and decentralized but can be slower and more expensive as more people use it.

Layer 2 is built on top of Layer 1 to make things faster and cheaper. It processes transactions off the main chain and then sends a summary back to Layer 1. This helps reduce fees and speeds up transactions while still using the security of the main blockchain.

These benefits are why STABLE and USDT were deployed on Layer 2 blockchains (Base and Ink respectively). Together, both networks help make blockchain more efficient and affordable to use.