An appchain (application-specific blockchain) is a type of blockchain intended to support specific applications like gaming or DeFi apps.
Appchains introduce customization, which enhances user experience and performance, with higher throughput and reduced costs compared to layer-1 blockchains.
Challenges related to appchains include high development and maintenance costs, vulnerability risk, and difficulties in developing effective economic models.
Examples of appchains include Arbitrum for DeFi apps, Immutable for crypto gaming, and ZetaChain for derivatives trading platforms.