Investment opportunities in Ethereum’s Layer 2 solutions are promising as they aim to address scalability issues and reduce transaction costs on the Ethereum network. Layer 2 solutions like Optimism, Arbitrum, and zkSync offer faster and cheaper transactions, which can improve user experience and encourage adoption. The competition with Layer 1 blockchains is more about complementing than replacing, as Layer 2s rely on the security of the underlying Ethereum network. Investors may find opportunities in the growth of these Layer 2 protocols, which could see increased usage and, potentially, token appreciation if they successfully capture market share.