Description: Overlays are additional layers built on top of existing blockchain networks to enhance their functionality and interoperability. These layers enable different blockchains to communicate with each other, facilitating the transfer of data and assets more efficiently. Acting as a bridge, overlays can optimize scalability, transaction speed, and the security of the underlying networks. Furthermore, they allow for the implementation of smart contracts and decentralized applications (dApps) that can operate across multiple blockchains, expanding the possibilities for use and collaboration among various ecosystems. Overlays are essential in an environment where interoperability becomes increasingly crucial, as they enable users and developers to leverage the advantages of multiple blockchains without being confined to a single network. This not only improves user experience but also fosters innovation and the creation of more complex and robust solutions in the blockchain technology space.
