Ethereum Layer 2 Single-Day Transaction-Volume Said To Surpass That Of Bitcoin: What You Need To Know

Ethereum ETH/USD layer-two scaling protocols are processing more transactions than the apex cryptocurrency Bitcoin BTC/USD, as per Week In Ethereum News founder Evan Van Ness.

What Happened: Van Ness cited Coinmetrics data to highlight L2s surpassing Bitcoin on Sept. 5  in terms of daily transactions on Twitter.

See Also: How To Buy Ethereum (ETH)

As per the analyst, StarkWare — a permissionless decentralized ZK-Rollup over Ethereum — processed the most transactions over the tracked period at 143,000 across DeFi platforms such as dYdX exchange and L2 NFT platform Immutable X.

Why It Matters: Ethereum Layer 2 is a collective term used for solutions-oriented towards scaling applications by handling transactions off the Ethereum Mainnet.

See Also: Dogecoin, Ethereum Collaboration Is Here? Loopring Says Has Made Vitalik Buterin's Suggestion A Reality

The popularity of L2s has risen with the average transaction fee or gas cost approaching $50, as noted earlier by Cointelegraph. At press time, the average transaction fee on the Ethereum network was $37.99, as per Bitinfocharts.com.

In comparison, at press time, Loopring and Hermez remain the most cost-effective L2 solutions to deploy as both cost $0.40 to transfer Ethereum, as per L2fees data.

As of press time, the total value locked in Ethereum Layer 2 has crossed the $1 billion mark again, a rise of 18.43% over the last seven days with dYdX alone having a TVL of $279.1 million, as per data from l2beat.com.

Nahmii 1.0 and Optimism took second and third place respectively in terms of TVL with $173.6 million and $165.9 million value locked respectively.

Van Ness said Bitcoiners were “swarming” his feed asking why he did not include lightning in his comparison.

“My impression given the low amount locked is that Lightning has very little traction but I'm happy if someone shows me data to the contrary.”

Price Action: At press time over 24 hours, ETH traded 0.4% lower at $3,923.87.

Read Next: Bitcoin Strikes Gains As El Salvador Becomes First Known Country To Buy Into Cryptocurrency — Ethereum, Dogecoin Slump