Close up on logo of (OP) Optimism on the screen of an exchange. Source: maurice norbert - stock.adobe.com

Key Takeaways:

Optimism is promoting the development of layer-3 applications using its Superchain technology and OP Stack, targeting enhanced scalability and functionality for Ethereum.
Advantages for layer-3 developers include eligibility for financial incentives such as retro funding and airdrops, alongside potential integration with new features like custom gas tokens and “Plasma Mode.”
Debate among industry leaders persists over the benefits and risks of layer-3 networks, with notable concerns about security and dependence on layer-2 systems, contrasting with views supporting their specialized roles.

Optimism, a provider known for enhancing Ethereum’s scalability, is setting its sights higher by encouraging the development of layer-3 applications using its Superchain technology.

On May 8, the team at Optimism announced their plan to welcome layer-3 developers to the Superchain, enabling them to utilize the OP Stack for development and benefit from revenue sharing with the Optimism Collective.

🔴 Welcoming L3s to the Superchain!

L3s can join the Superchain by building on the OP Stack and sharing revenue with the Collective.

Benefits include:

– Accessing a broad network of Superchain builders
– Eligibilities for Retro Funding, airdrops, growth campaigns, and more pic.twitter.com/0WgLtRgUDr
— Optimism (@Optimism) May 8, 2024

The OP Stack, a standard codebase underpinning the Superchain, supports not only layer-2 chain deployers and app builders but also fosters a growing ecosystem of layer-3 solutions.

The Superchain itself comprises a network of layer-2 chains, referred to as OP Chains.

These chains enhance security and communication and share a foundation of open-source technology.

Developers at the layer-3 level are offered several advantages such as eligibility for retro funding, airdrops, and access to developer grant programs, although they may face certain limitations in features like interoperability.

Layer-3 protocols, which are built atop layer-2 frameworks, host specialized decentralized applications, aiming to improve scalability, performance, interoperability, customization, and cost-effectiveness.

Among the upcoming enhancements to the OP Stack are custom gas tokens and a feature dubbed “Plasma Mode.” Custom gas tokens, which are in the final stages of development, will allow layer-3 protocols to use a layer-2 token as the native gas token.

Optimism’s Superchain now supports Layer 3 chains via OP Stack https://t.co/V26izym2lD
— The Block (@TheBlock__) May 9, 2024

This innovation is intended to reduce the costs associated with onboarding by eliminating the need to transfer gas tokens from layer-1 to layer-2 and then to layer-3.

Plasma Mode offers an alternative to traditional data availability layers, potentially lowering the fixed overhead costs of operating at the layer-3 level as opposed to layer-2.

Data availability is crucial for ensuring that all participants in the network can access and verify blockchain-stored data.

Build on the Superchain, create impact and you'll be rewarded. pic.twitter.com/2lNMfRh4P7
— Optimism (@Optimism) May 7, 2024

Despite these advancements, not everyone is convinced of the necessity or safety of layer-3 networks for scaling Ethereum.

In April, Polygon CEO Marc Boiron expressed concerns that layer-3 networks might pose increased security risks and detract from the network’s value.

He reiterated his stance on May 9, emphasizing the drawbacks of layer-3s, particularly their dependency on layer-2 “overlords” for settlements.

Conversely, Ethereum co-founder Vitalik Buterin remarked in late 2022 that layer-3 networks could play a unique role by offering specialized functionalities, distinct from traditional scaling methods.

Currently, Optimism’s OP Mainnet is the second-largest layer-2 network, boasting a total value locked of $6.76 billion and capturing about 18% market share, as reported by L2beat.