Layer 1 Blockchain
The foundational layer of a blockchain ecosystem — the main chain that processes and records all transactions. Bitcoin and Ethereum are the most well-known Layer 1 blockchains. All Layer 2 solutions build on top of a Layer 1.
Why It Matters
A layer 1 blockchain is the base layer of a blockchain network, like Bitcoin or Ethereum. It matters because it dictates scalability, speed, and security of transactions, affecting all applications built on top of it.
Example
For example, Bitcoin serves as a layer 1 blockchain that processes its own transactions directly on its network. Changes or updates to its capabilities require consensus among its users and miners.
Beginner Context
As a beginner, learning about layer 1 blockchains can help you understand the foundational technology behind various cryptocurrencies. This knowledge is vital for exploring more complex projects built on these networks.
Mike Starr
Founder, CryptoWizardTools · M.S. Organizational Management
Last reviewed: August 2026
Related Terms
GM
"Good morning." A friendly greeting widely used in crypto communities, regardless of the actual time of day. It became a cultural staple of crypto Twitter and community channels as a sign of camaraderie.
Paper Wallet
A physical document containing a cryptocurrency public address and private key, used as a form of cold storage.
Private Key
A secret cryptographic key that gives the holder control over a cryptocurrency wallet and the ability to sign transactions. It must be kept secure and never shared.
Token
A digital asset created on an existing blockchain platform using smart contracts. Tokens can represent various things including utility, governance rights, or real-world assets.
Public Key
A cryptographic key that can be shared publicly and is used to receive cryptocurrency. It is derived from the private key.