The cryptocurrency landscape continues to evolve at a rapid pace, and one of the latest milestones comes from OKX, a leading global crypto exchange. The company has officially launched X Layer, its highly anticipated Layer-2 (L2) blockchain, on the public mainnet. This marks a significant step forward in enhancing blockchain scalability, user accessibility, and ecosystem interoperability.
X Layer—formerly known as X1—is built using Polygon’s Chain Development Kit (CDK), a powerful framework that leverages zero-knowledge (ZK) technology. This enables developers to create customized, secure, and scalable blockchains with relative ease. By integrating ZK proofs, X Layer ensures faster transaction finality and improved data privacy, all while maintaining compatibility with the Ethereum network.
The name "X Layer" is symbolic. The “X” stands for openness, innovation, and cross-chain interoperability, while “LAYER” reflects the collaborative nature of multiple protocols working in unison to boost network performance. As a Layer-2 solution, X Layer operates on top of Ethereum, handling transactions off-chain to reduce congestion and lower gas fees—key pain points for users and developers alike.
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Industry Trend: Exchanges Building Their Own L2s
OKX’s move aligns with a growing trend among major crypto platforms to launch proprietary Layer-2 networks. In August 2023, Coinbase unveiled Base, its Ethereum L2 built on Optimism’s OP Stack. Similarly, reports suggest that Kraken is exploring the development of its own L2 solution. These initiatives highlight a strategic shift: exchanges are no longer just trading venues—they're becoming foundational infrastructure providers in the Web3 ecosystem.
By launching X Layer, OKX positions itself at the forefront of this transformation. The exchange isn’t just facilitating asset trading; it’s building the highways that connect users to decentralized applications (dApps), self-custody wallets, and broader blockchain services.
Technical Foundation and Ecosystem Integration
At its core, X Layer is engineered for scalability and developer flexibility. Thanks to Polygon’s CDK, the blockchain supports modular design principles, allowing teams to tailor their chains for specific use cases—whether it’s gaming, DeFi, or NFTs—without sacrificing security or decentralization.
A key component of X Layer’s ecosystem strategy is its integration with AggLayer, Polygon’s unified liquidity layer. AggLayer connects multiple chains built on Polygon’s technology into a single interoperable network, enabling seamless asset and data transfer across ecosystems.
“OKX’s 50 million users now have an easy path to onboarding to X Layer and all the other chains connected to the AggLayer.”
— Mark Boiron, CEO at Polygon Labs
This integration is more than technical—it’s strategic. It means millions of users can access a wide range of dApps across different chains without complex bridging processes or fragmented liquidity.
From Testnet to Mainnet: A Growing Ecosystem
X Layer first went live on testnet in November 2023 and has since demonstrated strong adoption. Today, the network supports over 170 decentralized applications, spanning DeFi, gaming, identity, and infrastructure tools. The OKX team plans to onboard even more projects in the coming months, further enriching the ecosystem.
Developers benefit from robust tooling, low entry barriers, and access to a vast user base through OKX’s integrated wallet and exchange platform. For users, this translates into faster transactions, lower costs, and a smoother onboarding experience into Web3.
Web3 Infrastructure: Building the Digital Highways
OKX envisions X Layer as foundational infrastructure for the next generation of the internet—Web3. In this vision, Layer-2 blockchains act like digital highways, providing fast, efficient routes to dApps, smart contracts, and decentralized identity systems.
Just as highways connect cities and enable commerce, L2 blockchains connect ecosystems and empower innovation. With X Layer, OKX aims to remove friction from blockchain interactions, making self-custody wallets and decentralized services accessible to mainstream audiences.
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Regulatory Strategy and Market Responsiveness
The launch of X Layer coincides with OKX’s intensified focus on regulatory compliance—particularly in the United States. Amid ongoing scrutiny from agencies like the U.S. Securities and Exchange Commission (SEC) over the classification of cryptocurrencies as securities, OKX has restructured its U.S. compliance team as a top organizational priority.
While regulators have yet to clarify their stance on memecoins and utility tokens, exchanges are proactively adapting. In response to regulatory concerns around offshore operations, OKX recently removed USDT (Tether) from its European services and executed an unprecedented freeze of USDT assets in coordination with Tether Ltd. This move underscores a growing emphasis on transparency and regulatory alignment—even when it involves difficult operational decisions.
Such actions reflect a broader industry shift: sustainability through compliance. For OKX, building scalable technology like X Layer goes hand-in-hand with responsible governance and risk management.
FAQ: Your Questions About X Layer Answered
Q: What is X Layer?
A: X Layer is a Layer-2 blockchain developed by OKX using Polygon’s Chain Development Kit (CDK). It enhances Ethereum’s scalability by processing transactions off-chain while maintaining security and low fees.
Q: How does X Layer benefit developers?
A: Developers gain access to modular blockchain tools powered by zero-knowledge technology, enabling them to build customizable, high-performance dApps with simplified deployment and cross-chain interoperability.
Q: Is X Layer compatible with Ethereum?
A: Yes. X Layer is fully compatible with Ethereum’s Virtual Machine (EVM), meaning existing Ethereum dApps can be easily ported over with minimal changes.
Q: How many dApps are currently on X Layer?
A: Over 170 decentralized applications are already live on X Layer, covering DeFi, gaming, NFTs, identity solutions, and developer tools.
Q: Can I use my OKX wallet on X Layer?
A: Yes. The OKX Wallet supports X Layer, allowing users to manage assets, interact with dApps, and bridge funds seamlessly across chains.
Q: Why did OKX launch its own blockchain?
A: To provide scalable infrastructure for Web3 adoption, empower developers, improve user experience, and integrate with broader ecosystems like Polygon’s AggLayer for unified liquidity.
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Final Thoughts: A Strategic Leap Forward
The mainnet launch of X Layer represents more than just a technical achievement—it's a strategic expansion of OKX’s role in the digital economy. By combining cutting-edge ZK technology, ecosystem integration via AggLayer, and a clear compliance roadmap, OKX is positioning itself as both an innovator and a responsible actor in the evolving crypto space.
With 50 million users already in its network, OKX has the potential to drive massive adoption of X Layer and accelerate the mainstream transition into Web3. As more exchanges follow suit in building their own L2s, the focus will increasingly shift toward interoperability, user experience, and regulatory clarity—three pillars that X Layer is designed to support.
As the blockchain ecosystem matures, initiatives like X Layer will play a crucial role in shaping a more connected, efficient, and accessible digital future.