WHY L3S?

Summary from the TLDR Crypto newsletter

Offchain Labs/Arbitrum co-founder Steven Goldfeder explains the value of Layer 3s. Layer 3s reduce the onboarding cost compared to L2s since they do not require L1 bridging transactions or transfers. Similarly, chain operators have the benefit of significantly lower fixed costs to post to an L2 like Arbitrum instead of to Ethereum, especially during times of lower L3 use. This allows L2s like Arbitrum to eventually become settlement layers for an ecosystem of Layer 3s.