A Layer 1 Blockchain refers to the base level of a blockchain network, such as Bitcoin, Ethereum, or Litecoin. It encompasses the fundamental architecture of the blockchain, including its consensus algorithm (like Proof of Work or Proof of Stake), the protocol that defines how transactions are recorded and validated, and the network’s native cryptocurrency. Layer 1 solutions often focus on improving the base protocol itself to enhance scalability, security, and decentralization. Examples of Layer 1 modifications include changing the consensus mechanism or implementing sharding, which divides the blockchain into smaller, more manageable parts.
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