Paradigm has invested $20 million in Ithaca, a new venture focused on developing a Layer 2 blockchain. The project aims to address critical challenges in the cryptocurrency space by leveraging technology from existing Layer 2 solutions, including those from Optimism and Starkware. Ithaca's launch was announced by Paradigm's CTO Georgios Konstantopoulos, who highlighted the project's first initiative, named Odyssey, which is an open-source Layer 2 testnet built using Reth, OP Stack, and Conduit. The project emphasizes high performance, stability, and scalability, aiming to foster collaboration within the developer community to tackle some of the most pressing issues in crypto development.