Data Availability - With L1s, full nodes can verify they have all the necessary data to produce the next block and that all the other full nodes have received that block.
Centralizing Components - By scaling through an L1, there is no need for sequencers or provers, so the network is as decentralized as the consensus allows.
Liquidity Fragmentation - Monolithic architectures already have unified liquidity within their ecosystem. App-Chain architectures currently fragment liquidity but can have a primary liquidity hub (like the Avalanche C-Chain) or, in the future, unified liquidity through a native messaging layer (e.g., Avalanche Warp Messaging or Inter-Blockchain Communication).
Securing Middleware - While monolithic and app-chain approaches rely on third-party bridging and messaging for external communication, they communicate within their ecosystems with minimal added risk. For external communication, only the funds in the bridge are at risk - not network stake.
Long Settlement Times - Many third-generation blockchains have fast settlement times, with the fastest having subsecond time-to-finality (Solana ~5 seconds, Avalanche ~1 second, Cosmos ~1-2 seconds).

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