LeoGlossary: Sidechain

4 mo
LeoFinance
0 Min Read
91 words

A ledger that runs parallel to a blockchain. There is a link between the primary chain and sidechain, enabling two-way communication.

Sidechains are important for the scaling of blockchains. These are considered Layer 2 solutions.

To envision how sidechains fit, picture a global network of decentralized blockchains. They each had their own rules, purposes, and use cases. Each is independent yet they form on major ecosystem.

The best example of a sidechain is the Lighning Network that is interacts with the Bitcoin network.

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