2D Digital Noise Reduction (DNR) is a form of temporal noise reduction which analyzes every pixel in the frame sequentially and looks for inconsistent pixels to repair them. You can use 2D DNR for basic noise reduction in low-resolution static video.
3D Digital Noise Reduction (DNR) is based on spacial noise reduction which compares the pixels in each frame individually and then compares these frames to each other. You can use 3D DNR for noise reduction in high-resolution video with motion and in low lighting conditions.