Major layer-2 projects like Starknet and Arbitrum are implementing token unlocks and incentive programs to maintain ecosystem vitality. Starknet’s 3.79% supply unlock aims to reward early contributors while ensuring sufficient liquidity for dApp development. Arbitrum’s concurrent unlock accompanies governance proposals to enhance protocol sustainability.
The competitive landscape drives innovation in zero-knowledge proof efficiency and cross-chain interoperability. Networks are differentiating through specialized verticals β some optimizing for DeFi, others targeting gaming or enterprise use cases. This specialization aims to avoid direct competition while expanding overall layer-2 adoption.
Upcoming Ethereum upgrades like Prague/Electra force layer-2 teams to adapt their roadmaps. Projects balancing technical innovation with tokenomics sustainability are gaining investor favor. However, the proliferation of scaling solutions risks fragmenting liquidity, pushing networks to develop superior bridging solutions and shared security models.