Source: https://block-builders.de/optimism-op-und-arbitrum-ethereum-layer-2-loesungen-kommen-in-fahrt/
Layer-2 scaling solutions on Ethereum are experiencing rapid expansion, with the Total Value Locked (TVL) – referring to the amount of assets staked and deposited on major platforms like Arbitrum, Optimism, and Base – surpassing $36.7 billion. According to L2Beat, a renowned research and analysis site for Ethereum Layer 2 scalability networks, one of the earliest Layer-2 solutions for Ethereum, Arbitrum One, has reached a TVL of $15.7 billion, nearly double that of its closest competitor, Optimism.
The surge in TVL across Ethereum's Layer 2 platforms could indicate an increased demand for faster and cheaper transactions. As of March 7, Ethereum was trading at around $3,800. While it experienced a correction in the last 24 hours, the crypto grew by 13% in the previous trading week.
Cryptocurrencies from other top Layer 2 platforms are also on the rise. Tokens such as ARB and OP, the native tokens of Arbitrum and Optimism respectively, have seen gains in recent weeks. ARB is trading at just over $2, marking a 6% increase in the past week. According to current CoinMarketCap data, its market cap has exceeded $2.6 billion, securing a place among the top 50 most valuable cryptocurrencies.
Optimism's chart shows significant growth since last month. On February 15, the Optimism network tested an incident response system improvement, aiming to further enhance the Superchain once implemented. As a result, Optimism has seen significant growth since last month, with a market cap reaching $4.7 billion, slightly down from previous days. The same goes for the OP token, which was trading at $4.71 at the time of writing.
While Optimism's native cryptocurrency has decreased by 2.14% in the last 24 hours, it has increased by 19.35% in the last seven days and by 44.53% in the last month. Another thriving Layer 2 network is Polygon, whose market cap has now risen by 5.84% to $11.2 billion. The native token of the Polygon network, MATIC, is currently trading at $1.14, up by 5.68% in the last 24 hours, 7.69% in the last seven days, and 43.45% in the last 30 days.
In 2023, the Polygon network acquired a remarkable 15.24 million users, signaling significant growth. In terms of user acquisition, it has almost caught up with the Ethereum network.
Layer-2 scaling solutions have gained ground in recent years with the launch of additional platforms. For example, Blast and Base, two platforms utilizing optimistic rollups, were recently launched and now have a TVL of over $2.7 billion and $1.1 billion, respectively. Users and cryptocurrency protocols prefer these platforms because they offer greater scalability and lower fees while maintaining security derived from Ethereum.
A special mention goes to Shiba Inu's Layer-2 scaling solution, Shibarium, also developed on Ethereum. Although it has not yet had a strong impact on the SHIB token, it is undeniable that Shibarium has brought significant performance improvements to Shiba Inu, especially in terms of speed, despite initial challenges and high blockchain congestion. Recent data shows that Shibarium registrations are steadily increasing, outperforming competitors such as Optimism and Arbitrum in this regard.
Source: https://www.investopedia.com/terms/h/hard-fork.asp
The upcoming Dencun hard fork will further reduce fees and improve efficiency. The update aims to make Layer 2 transactions cheaper, laying the groundwork for further scalability advancements on Ethereum.