Glossary-L

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L

L1

Abbreviation - #Layer 1

L2

Abbreviation - #Layer 2

Lambo

Slang
Short for Lamborghini. Often used in the phrase "wen lambo?" to jokingly refer to the time when a modest investment in a coin, token, or NFT will increase enough in value to equal the price of a brand new Lamborghini.

Lamport

One billionth (1/1,000,000,000) of one SOL, the native token of the Solana network.


See also: #SOL, #Solana

Layer 1

A primary or foundational chain in a blockchain network, providing the fundamental infrastructure and core functionality.


See also: #AppChain, #Blockchain, #Layer 2, #Sidechain

Layer 2

A secondary framework built on top of an existing blockchain network in order to address scalability and performance limitations by processing transactions and storing data off the main blockchain but maintaining a connection to ensure data integrity and security.


See also: #AppChain, #Blockchain, #Layer 1, #Sidechain

Light Client

Software that acts as an interface between users and a blockchain network and usually includes a cryptocurrency wallet but does not store the entire blockchain history, thereby minimizing resource requirements.


See also: #Client

Light Node

A node that does not store the entire blockchain history, but can connect to full nodes to retrieve the necessary information to check the authenticity and integrity of transactions.


See also: #Node, #Full Node

Liquidity

The measure of how quickly an asset can be bought or sold efficiently in the market. Highly liquid items can be bought and sold quickly at a desirable valuation, while less liquid items may take more time and effort.


See also: #Liquidity Pool, #Liquidity Provider

Liquidity Pool

A reserve of funds provided by users of a decentralized exchange in order to provide liquidity, incentivized with rewards or benefits in relation to the amount of funds they supplied. Funds are controlled by a smart contract, which automates the process and removes the need for a central figure to control or oversee transactions.


See also: #Liquidity, #Liquidity Provider

Liquidity Provider

An individual or entity that supplies funds to a liquidity pool, facilitating trading in exchange for rewards or benefits in relation to the amount of funds they provided.


See also: #Liquidity, #Liquidity Pool, #LP

Locking

See #Staking

London Fork

A hard fork that occurred in August 2021 and a major upgrade to the Ethereum network, which introduced several changes meant to improve overall performance, address the issue of fluctuating and often high transaction fees, as well as moving the blockchain one step closer to shifting from a Proof of Work to a Proof of Stake consensus mechanism.


See also: #Ethereum, #Hard Fork, #Proof of Stake, #Proof of Work

Loopring

An open-source #Layer 2 protocol and decentralized exchange built on top of Ethereum, leveraging zero-knowledge proofs and zkRollups to enable significantly more trades per second.


See also: #Decentralized Exchange, #Ethereum, #Layer 2, #Zero-Knowledge Proof, #ZK-Rollup

LP

Acronym - #Liquidity Provider