Orbs introduce a brand-new blockchain building component (Layer 3) that adds a layer of intricacy to the activity that takes place on Layer 1 and Layer 2 networks
Orbs Layer Three, What Is It About?
With an altogether new idea, orbs are once again upsetting the blockchain. This is to supplement the architecture of a multi-chain interoperable infrastructure that works in tandem with all major Layer 1 and Layer 2 chains, such as BSC, Ethereum, Solana, and Avalanche, as well as the apps that run on them.
The Orbs chain is a Layer 3 chain that sits on top of the L1 and L2 layers, drawing on the security of the Layer 1 chains, the scalability of the L2, and its own smart contract deployment layer to improve the sophistication of EVM compliant smart contracts’ capabilities.
Yearn Finance, a DeFi app that provides users with smart vaults, is a good example of how to understand this framework.
The user deposits money into the vaults, and the algorithm manages the money by opening and closing positions in the same way a money manager would. When it comes to smart contracts on Layer 2 chains, however, the actual strategies used to deploy one contract after another are often quite simple. Once an activity is completed, a new trade or action is initiated.
Using Layer 3 smart contracts with Orbs adds a new level of complexity to the strategies, allowing for multiple transactions to be carried out at the same time, for example, moving money between pools and vaults based on which offers the best returns, while also utilizing loans to incorporate leveraged style trading for greater reward potential. As a result, a more sophisticated strategy with potentially higher yields has been developed.
Orbs Co-Founder Tal Kol stated:
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. Using this approach enhances the complexity of the on-chain actions apps can conduct.
The Open DeFi Notifications Protocol is the first Orbs project to make use of Layer 3 capabilities. An open protocol that provides users with decentralized mobile notifications when events occur on the blockchain. It reads activity on both the Layer 1 and Layer 2 chains and gives users access to more advanced strategies, despite the fact that it is built on Layer 3.
What Is Orbs All About?
Orbs is a public blockchain infrastructure built for mass adoption and tight integration with EVM-based L1s and L2s like Ethereum, Binance Smart Chain (BSC), Polygon, Solana, and Avalanche. The ORBS token powers the Orbs protocol, which is decentralized and run by a public network of permissionless validators using Proof-of-Stake (PoS).
