OKX Launches Ethereum Layer-2 Network: Lower Fees & Interoperability
2 min read
OKX Launches Ethereum Layer-2 Network: Lower Fees & Interoperability
OKX, a cryptocurrency exchange platform, has launched an Ethereum-based layer-2 network called X Layer. This network aims to provide users with lower fees and increased interoperability when interacting with decentralized applications. X Layer, powered by zero-knowledge proofs, was built using Polygon’s chain development kit (CDK) and allows for shared state and liquidity across multiple blockchain networks. Its main goal is to offer faster and cheaper transaction capabilities for on-chain applications. X Layer is also EVM-compatible, meaning developers can launch or migrate Ethereum-based decentralized apps without having to rewrite the code.
Haider Rafique, the Chief Marketing Officer at OKX, believes that layer-2 networks like X Layer will play a crucial role in creating a seamless and interoperable Web3 ecosystem. The mainnet beta of X Layer was launched in November 2023 and attracted over 50 Web3 decentralized apps to its testnet. DApps such as the Graph, Curve, LayerZero, QuickSwap, Galaxy, and Timeswap are currently in the process of deploying on X Layer.
X Layer offers OKX users the ability to transfer assets, deposit and withdraw cryptocurrencies, and access nearly 200 DApps that offer token swaps, staking, and smart contract functionality. OKX’s native token, OKB, acts as the native token for X Layer and is used to pay gas fees on the network. X Layer connects to other chains built on Polygon CDK through the AggLayer, enabling liquidity transitions between these chains.
According to Polygon CEO Marc Boiron, this interconnected network of liquidity across different blockchain protocols solves the issue of liquidity fragmentation and allows for the growth of all chains connected to the AggLayer. It provides OKX’s 50 million users with an easy path to onboard to X Layer and other connected chains.
Investment management firm VanEck estimates that Ethereum layer-2 networks could surpass $1 trillion in market capitalization by 2030. These networks are essential for Ethereum’s scalability, enabling secure and low-fee transactions and applications.
And of course, they built it using Polygon’s CDK. Can’t companies come up with their own original ideas anymore?
Having nearly 200 DApps accessible through X Layer is a game-changer! The variety of token swaps, staking, and smart contract functionality will provide users with endless possibilities.
So now OKX thinks they can compete with Ethereum and solve all its problems? Good luck with that.