Orbs Unveils Highly-Innovative Layer 3 Smart Contract Architecture
Public blockchain infrastructure designed for mass usage applications Orbs today introduced its ground-breaking layer 3 architecture.
Orbs Unveils Layer 3 Architecture
Open-source and permissionless blockchain network Orbs today unveiled its Layer 3 style chain which promises to bring a whole host of new utilities to its offering.
Notably, Orbs’ newly unveiled Layer 3 offering will play a significant role in the multi-chain interoperable infrastructure which currently works in parallel with all the leading Layer 1 and Layer 2 networks such as Binance Smart Chain, Ethereum, Solana, and Avalanche, and the dApps built on top of them.
From a technical point of view, Orbs can be considered a Layer 3 chain that draws its security from the Layer 1 chains, scalability from Layer 2 chains, and leverages its own smart contract deployment Layer to foster the functionality of EVM compatible smart contracts.
To understand the functionality of Orbs’ Layer 3 framework, consider the example of DeFi yield aggregating protocol Yearn Finance.
At Yearn Finance, the user deposits their funds into the protocol’s vaults, giving the responsibility to manage the funds to the protocol’s algorithm. The Yearn Finance algorithm works in a similar manner as that of a typical money manager in that it opens and closes positions to maximize the yields for the user.
However, the actual strategies deployed while using smart contracts on Layer 2 chains tend to be quite simple in nature in that one contract is deployed after the other. Essentially, this means that once an activity is conducted, then a new trade or action occurs.
Orbs’ Layer 3 takes the aforementioned framework a step further.
Orbs leverages Layer 3 smart contracts to impart complex sophistication to the yield-generating strategies that helps in conducting multiple transactions at the same time. This can be achieved by moving money across pools and vaults depending on the best yields being offered, while simultaneously taking advantage of loans to tap leveraged style trading to reap better rewards.
Commenting on the development, Tal Kol, Co-founder, Orbs, said:
“This is an entirely new building block for the blockchain, which builds an extra layer of sophistication into the activity conducted on the chain. Its use extends far beyond the realm of DeFi, although it is massively important here too. We take our decentralized protocol, which is open and permissionless and make it available for developers using smart contracts in the languages they already use now. Using this approach enhances the complexity of the on-chain actions apps can conduct.”
Notably, Orbs’ innovative Layer 3 is currently being used by the Open DeFi Notifications Protocol. The protocol gives users decentralized mobile notifications whenever any on-chain event occurs. Although built on the Layer 3, the protocol reads activities on both Layer 1 and Layer 2 chains to give users access to more robust strategies.