What is an L1?

The below information is summarized and pulled from Avalanche's L1 page.

An L1 is an independent network within a blockchain ecosystem, in this case, Avalanche. This independent network defines its own rules for membership and token economics. Comprising a dynamic subset of Avalanche validators, an L1 collaborates to achieve consensus on one or more blockchains. Each blockchain is validated by a specific L1, and an L1 can validate multiple blockchains.

Key Advantages:

1. Independent Networks: L1s utilize virtual machines to establish their own execution logic, fee structures, state maintenance, networking, and security. Performance on one L1 remains isolated from others, preventing one L1's increased usage from affecting another. Additionally, L1s can introduce their own token economics, including native tokens, fee markets, and incentives determined by the L1 deployer.

2. Accommodation of Application-Specific Requirements: Blockchain-based applications may demand specific properties from validators, such as substantial amounts of RAM or CPU power. L1s can impose requirements on validators to ensure optimal application performance and prevent issues arising from slow validators.