What is Sidechain?
A sidechain is an independent blockchain with its own consensus mechanism that runs parallel to a main chain and is connected via a two-way bridge — providing scaling but without inheriting the main chain's full security.
WHY IT MATTERS
Sidechains offer scaling through independence. Unlike rollups (which post data to L1 for security), sidechains maintain their own security through their own validators. This means they can be faster and cheaper but don't inherit Ethereum's security guarantees.
The key difference from rollups: if a sidechain's validators are compromised, funds can be stolen. If a rollup's sequencer is compromised, users can still withdraw through L1 because the data is posted there.
Polygon PoS is the most prominent example — technically a sidechain with its own PoS consensus, connected to Ethereum via bridges. It offers very low costs but different security properties than rollups.