Ethereum layer-2 networks Arbitrum and Optimism have recorded a surge in transaction volume in the span of just three months, surpassing even that of the mainnet Ethereum.
Data from Dune Analytics showed that Arbitrum and Optimism combined processed over 1.12 million transactions while Ethereum processed over 1.06 million transactions on Jan. 10.
On the other hand, since late October, transactions on the Ethereum network have decreased by roughly 33%, according to Etherscan.
With regards to the l2s, Optimism [OP] for one, has kickstarted the year on an optimistic note as it enjoys a bull run. But, has suffered stagnancy in terms of total value locked [TVL].
In comparison to that, Arbitrum has reportedly outpaced the other top Layer 2 blockchains, such as Optimism and Polygon, when it comes to TVL. The former, however, is unaffected as it continues to increase in tempo and rule the L2 region.
Nonetheless, L2 transactions boost Ethereum’s appeal when they are included in the mix.
Ethereum’s Layer-2 And Staking Fuels Usage
L2beat data showed that towards the middle of October, the number of L2 transactions per second actually surpassed that of Eth layer 1 transactions, and it remained higher for the vast majority of the time afterward.
The term “Layer 2” is used to describe an additional framework or protocol that is implemented on top of an existing blockchain system.
Overall, 2022 was a mixed bag for the leading smart contract platform Ethereum [ETH] as the network eventually shifted from proof-of-work [PoW] to proof-of-stake [PoS].
This includes its first-ever price slide below the high of the previous cycle.
Another factor driving up ETH usage is the upcoming Shanghai hard fork of the most popular altcoin, which is anticipated to occur in March. Staking risk will be reduced with this upgrade by withdrawing staked Ether [stETH] from the Ethereum Beacon chain.
In preparation for the upgrade, the prices of the Lido DAO [LDO] and Stakewise [SWISE] tokens, two systems that permit Ether staking, have increased by double digits over the previous week.
With $23.06 billion in value locked on the multiple dApps running on the network, Ethereum remains to be the most valuable protocol in terms of total value locked (TVL), according to data from Defi Llama.