Ethereum Layer 2 Solutions in 2025: Comparing Scalability, Costs, and Security

By 2025, Ethereum's landscape had dramatically changed, largely thanks to the growth of Layer 2 (L2) scaling solutions. These tools, built to expand Ethereum's capabilities, have quietly become the foundation of its ecosystem.

By handling transactions off the main Ethereum network, they've cut fees, sped up processes, and supported more users, all while keeping the core blockchain secure and decentralized. Today, Layer 2s are no longer just add-ons.

In this post, we'll break down how the top Ethereum Layer 2 solutions stack up in 2025 and what each brings to the table.

How Layer 2 Scaling Solutions Have Changed (2023-2025)

In 2023, L2s like Arbitrum and Optimism focused on solving Ethereum's high fees. At the time, sending a transaction on Ethereum could cost $10 or more during busy periods. L2s reduced these costs by 80-90%, making transactions affordable for everyday users.

By 2024, L2s started doing more than just cutting fees. They became independent platforms where developers could build apps directly. For example:

• Arbitrum now handles over 1 million transactions daily.
• Base, created by Coinbase, grew to $8 billion in deposits by mid-2024.
• zkRollups (like StarkNet) began supporting apps that require privacy or complex logic.

What Layer 2s Can Do Today

Modern L2s offer features that go far beyond cheap transactions:

1. Complex smart contracts: Enabling advanced DeFi protocols, gaming applications, and social apps that let users send tiny payments (like $0.01 tips).
2. Cross-L2 interoperability: Allowing seamless movement of assets and dApps across different L2 networks. For example, apps like Uniswap now exist on multiple L2s, making trading faster and cheaper.
3. Native tokenomics: Driving user participation through governance tokens and reward systems
4. Developer tools: Providing SDKs (Software Development Kits) and APIs (Application Programming Interfaces) for easier dApp integration and also allowing developers to customize their networks for specific needs, like gaming

Selection Criteria

We ranked Ethereum L2s for 2025 based on:

• User Activity: Daily users (shows real adoption).
• Usage Volume: How much money moves through the network and how often.
• Funds Locked: Total value stored in apps on the L2 (shows trust and activity).
• Unique Tools: What makes the L2 stand out (e.g., privacy, speed, partnerships)?
• Community Hype: Social media trends and public interest in the network.

Top 5 Ethereum Layer 2 Solutions in 2025

#5: zkSync

Overview: zkSync has become synonymous with zero-knowledge proof technology, setting benchmarks for privacy, scalability, and efficiency. With its second iteration, zkSync Era, it's now fully compatible with the Ethereum Virtual Machine (EVM), facilitating seamless interactions with Ethereum, aiming for minimal latency and high performance.

Key Features:

1. Advanced zkRollup architecture for scalable and secure transactions.
2. Focus on privacy-preserving architecture for applications where privacy is paramount.
3. ZK-EVM allows easy deployment of Ethereum dApps directly on zkSync Era.
4. Ecosystem incentives and governance are facilitated through the zkSync token.

Performance Metrics:

1. Active Users: 25,000+ daily wallets.
2. Transaction Volume: $17 million daily.
3. Funds Locked: $263 million TVL (176% growth).
4. Developer Buzz: Growing focus on privacy tech (zk-based solutions).

Source: DefiLlama

Use Cases:

1. Home to a bunch of privacy-focused DeFi and payment solutions.
2. Scalable infrastructure for gaming and NFT marketplaces, benefiting from zkSync's efficiency.
3. An ongoing focus on enhancing cross-chain interoperability with other Ethereum L2s.

#4: Polygon (MATIC)

Overview: As a pioneer in Ethereum scaling, Polygon has transitioned from a sidechain solution to a multifaceted scaling solution for Ethereum. It now prominently features zkEVM technology, making it a go-to for developers needing high throughput and EVM compatibility.

Key Features:

1. Providing seamless compatibility with Ethereum smart contracts with zkEVM zero-knowledge proofs for scalability.
2. Extensive developer ecosystem with comprehensive tooling and support.
3. MATIC token driving staking and transaction incentives.
4. Diverse scaling solutions that include polygon PoS alongside zkEVM.

Performance Metrics:

1. Active Users: 573,000+ daily wallets.
2. Transaction Volume: $184 million daily.
3. Funds Locked: $855 million TVL.

Source: DefiLlama

Use Cases:

1. NFT marketplaces leveraging zkRollup efficiency.
2. Enterprise blockchain solutions for supply chain and finance.
3. Gaming dApps require high transaction throughput.
4. Tools like Polygon CDK and Supernets enhance interoperability for cross-chain applications.

#3: Optimism

Overview: Optimism remains a strong contender with its Optimistic Rollup solution, prioritizing network efficiency and scalability. Its unique retroactive public goods funding model has also garnered attention for its innovative approach to ecosystem development.

Key Features:

1. OP Stack enables modular blockchain infrastructure for building new L2s, fostering interoperability.
2. EVM Equivalence allows developers to deploy Ethereum dApps with no changes.
3. Seamless integration with major Ethereum dApps and protocols.
4. Retroactive funding mechanisms to support developers for past contributions, encouraging innovation.
5. Contributes to Ethereum's scalability, significantly reducing gas fees for users.
6. Fosters an interoperable ecosystem through the Superchain vision.

Performance Metrics:

1. 474K active wallets as of 2025.
2. Optimism's TVL recently surpassed $0.69B.
3. Transaction volume averaging $3 billion daily.
4. Highly active governance community driving network upgrades.

Source: DefiLlama

Use Cases:

1. Popular DeFi platforms like Aave and Synthetix leverage Optimism.
2. Incentivized governance experiments with the OP token.
3. Applications in identity management and DAO tooling.

#2: Base

Overview: Built by Coinbase, Base has quickly established itself as a reliable Layer 2 solution for both retail and institutional users. Its integration with Coinbase's ecosystem ensures a seamless experience of on-chain activities, capturing a significant share of transaction volume. Base is still at the beginning of its decentralization journey, currently operating as an optimistic rollup on the OP Stack without a fraud-proof system, but with clear intentions to evolve.

Key Features:

1. Direct integration with Coinbase wallet and exchange therefore simplifying access for millions of users.
2. Focus on usability and onboarding new users to Web3 with a friendly interface.
3. Robust security and compliance standards, facilitated by Coinbase's experience.

Performance Metrics:

1. Daily Users: 1.6 million active addresses.
2. Transaction Volume: $1.89 billion daily.
3. Funds Locked: $3.69 billion TVL (top-tier L2).
4. Adoption: Popular with everyday users, boosted by Coinbase's reach.

Source: DefiLlama

Use Cases:

1. Retail-friendly DeFi platforms simplifying access to yield farming.
2. Enterprise-grade compliance solutions for regulated markets.
3. Social apps like Friend.tech leveraging Base's infrastructure.

#1: Arbitrum

Overview: Arbitrum continues to lead the Ethereum Layer 2 space with its Optimistic Rollup technology. Known for its robust developer ecosystem, Arbitrum has gained significant traction in DeFi and gaming sectors, positioning itself as a go-to solution for scalable Ethereum applications.

Key Features:

• Highly efficient Optimistic Rollup architecture with fraud proofs for security.
• Comprehensive developer support, including Arbitrum Nitro, upgrade for enhanced speed and reduced costs.
• Incorporates Stylus which supports smart contract development in languages like Rust, C, C++, and many others, expanding developer capabilities.
• Seamless migration of existing Ethereum dApps due to full Ethereum Virtual Machine (EVM) support.
• Decentralized governance powered by the ARB token.

Performance Metrics:

• Active Users: 487,000+ daily addresses (Q1 2025).
• Transaction Volume: Over $1 billion daily.
• Funds Locked: $3.08 billion in Total Value Locked (TVL) - leading all L2s.

Source: DefiLlama

Use Cases:

• DeFi Hub: Runs major apps like GMX and Uniswap efficiently.
• Gaming & Microtransactions: Enables cheap in-game purchases (e.g., $0.01 fees).
• Cross-Chain Support: This lets users move tokens between chains easily.
• Upcoming Features: Arbitrum Orbit upgrade (improves L2 connections).

Ethereum Layer 2 Comparison Matrix (2025)

Future Trends for Ethereum Layer 2 Solutions (2025+)

Ethereum Layer 2 solutions are set to dominate the blockchain landscape in 2025 and beyond, with several key trends shaping their future:

1. The proliferation of zkRollups: Zero-knowledge rollups (zkRollups) are gaining momentum due to their efficiency, scalability, and enhanced security. The inherent privacy and lower gas costs associated with zkRollups could make them the preferred choice for a wide range of dApps.
2. Interoperability Across L2s: Projects are working on ways to let apps and tokens move easily between different Layer 2 networks. Efforts like Arbitrum Orbit and Polygon's AggLayer aim to link L2s into connected networks.
3. Increased Institutional Adoption: L2s are evolving to meet the growing needs of institutional investors and enterprises, incorporating features that integrate with traditional financial systems and compliance frameworks.
4. Scalability and Performance Enhancements: There's an ongoing push to further enhance the scalability and performance of L2s, aiming for higher transaction throughput, reduced latency, and lower fees with Features like integrated wallets, simplified onboarding, and gasless transactions.

Final Takeaway

Ethereum's Layer 2 solutions have shifted from fixing Ethereum's flaws to becoming the backbone of real-world blockchain apps. By cutting costs, boosting speed, and letting networks work together seamlessly, L2s are turning crypto from a niche tool into something everyone can use-whether for gaming, payments, or business. The future of blockchain isn't just coming; it's already here, and Layer 2s are leading the way.