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Layer 1 Blockchain: The Foundation of Decentralized Networks

Oodles Blockchain
Layer 1 Blockchain: The Foundation of Decentralized Networks

In the realm of blockchain development services, Layer 1 serves as the foundation upon which we build decentralized networks. As the foundational framework supporting the whole ecosystem, it provides consensus methods, scalability, and security.

In this article, we’ll delve into the intricacies of Layer 1 blockchain, exploring its significance, key features, and notable examples.

What is Layer 1 Blockchain?

Layer 1 blockchain, also known as the base layer or main chain, is the protocol layer laying the foundation of a decentralized network.

It is in charge of maintaining the core functions of the blockchain, including block generation, consensus processes, and transaction validation.

It is the Layer 1 protocols that establish the fundamental guidelines and framework that control the whole blockchain network.

You may also like | Unveiling the Potential Layer 3 Blockchain Development

Key Features


When it comes to Layer 1 blockchain development, security is crucial. By distributing data throughout a network of nodes and employing consensus procedures, Layer 1 blockchains lessen the likelihood of fraud and manipulation.


The foundation of Layer 1 blockchain networks is decentralization. A distributed network of nodes records and validates transactions in place of a central authority or middleman.

This distributed architecture guarantees that there isn’t a single point of failure in the system and improves resilience and resistance to censorship.

Consensus Mechanism

Consensus techniques are utilized by Layer 1 blockchains to attain consensus among network participants over the legitimacy of transactions and the sequence in which they are appended to a blockchain.

Proof of Work (PoW), Proof of Stake (PoS), Delegated Proof of Stake (DPoS), and Practical Byzantine Fault Tolerance (PBFT) are a few examples of consensus procedures.

Security, scalability, and energy efficiency are trade-offs that are unique to each consensus method.


For Layer 1 blockchains, scalability has been a significant difficulty, particularly when it comes to boosting transaction throughput and cutting latency.

While certain Layer 1 protocols are inherently limited in their ability to scale, others are investigating creative workarounds including sidechains, sharding, and Layer 2 scaling techniques to boost network efficiency and meet rising demand.

Notable Examples

Bitcoin (BTC)

2008 saw the introduction of Bitcoin, the first and most well-known Layer 1 blockchain, by Satoshi Nakamoto.

It functions as a decentralized peer-to-peer digital money that does not require middlemen and allows for safe, censorship-resistant transactions.

Proof of Work (PoW), the consensus process used by Bitcoin, keeps the network secure by forcing miners to compete to validate transactions and add new blocks to the blockchain.

Ethereum (ETH)

Ethereum is a Layer 1 blockchain platform that allows smart contracts and decentralized applications (DApps) to run, expanding the features of Bitcoin.

The blockchain platform, founded in 2015 by Vitalik Buterin, popularized the idea of programmable money by enabling programmers to create a variety of decentralized apps on its blockchain.

With the Ethereum 2.0 upgrade, the consensus mechanism for Ethereum is now switching from Proof of Work (PoW) to Proof of Stake (PoS), to enhance scalability and energy efficiency.

Cardano (ADA)

Cardano is a third-generation Layer 1 blockchain platform that aims to solve the issues existing blockchain networks have with scalability, interoperability, and sustainability.

The blockchain, created by IOHK under Charles Hoskinson’s direction, uses a special Proof of Stake (PoS) consensus algorithm dubbed Ouroboros, which tries to maximize security and scalability while consuming the least amount of energy.

Cardano is unique among blockchain projects that follow scientific rigour because of its formal verification and methods of peer-reviewed research.

Polkadot (DOT)

A Layer 1 blockchain protocol called Polkadot makes it easier for blockchains to scale and interact with one another. Polkadot is a new multi-chain architectural startup founded by Dr. Gavin Wood, one of the co-founders of Ethereum.

Through a single relay chain, it allows disparate blockchains, or parachains, to communicate and share security. Nominated Proof of Stake (NPoS), the Polkadot consensus mechanism, enables token holders to take part in network governance and block production.


Layer 1 blockchain serves as the foundational layer of decentralized networks. It provides the necessary infrastructure for secure, transparent, and censorship-resistant transactions.

While creating Layer 1 protocols, the focus is still on security, decentralisation, consensus methods, and scalability. They serve as the foundation for the whole blockchain ecosystem, fostering creativity and letting users to engage in trustless interactions with digital assets and apps.Layer 1 protocols will play a crucial role in shaping the future of decentralized finance, governance, and digital identity.

Want to develop a Layer 1 blockchain to revolutionize the digital space, the way Bitcoin, Ethereum, and others are doing? Connect with our blockchain developers to get started.

Oodles Blockchain
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