Ethereum Layer 2 Network Gas Usage Hits Record Highs

29 November 2022, 06:48 GMT+0000
Updated by Kyle Baird
29 November 2022, 06:48 GMT+0000
In Brief
  • Layer 2 gas usage has hit an all-time high on Ethereum, crossing over 100 billion gas.
  • Optimism dominates the market, followed by Arbitrum and dYdX.
  • Most major L2 have seen growth across several metrics.
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Gas usage on layer 2 networks for Ethereum hit an all-time monthly high. The statistic has grown by roughly 300% year over year.

The Ethereum network shows increased layer-2 activity, as the amount of gas (transactional unit for Ethereum) spent on the network has hit a monthly all-time high. November 2002 saw over 103 billion gas used, which is a massive jump from the start of the year when it was 33.2 billion.

Year over year, there has been roughly a 300% increase in the amount of gas used to settle layer 2 transactions on Ethereum. For the most part, this activity has been increasing in 2022, with just a few blips when the market was crashing.

November was the first time that layer 2 networks consumed well over 100 billion in gas. It’s something of a milestone for Ethereum. Only six months ago, the value was at half the current amount.

The most popular layer 2 networks on the market are Optimism, Arbitrum, dYdX, Starkware, and Loopring. Optimism dominates the market, with nearly 50% of the share. Arbitrum follows with about 30% of the market, and dYdX has a fraction of the market. The remainder has marginal holds on the market.

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Overall, layer 2 gas use increased by about 170% in 2022, which bodes well for the crypto market. Adoption of these solutions has risen dramatically in the past 18 months, attracting entities with its low gas fees and quick transactions.

Layer 2 adoption spikes in 2022

The adoption of layer 2 solutions has spiked in 2022, with several notable developments taking place in quick succession. Most recently, Aave’s community voted to deploy the platform on the testnet of the zkSync layer 2 solution.

Community favorite GameStop has also launched its NFT marketplace on layer 2 solution ImmutableX. The two parties first partnered in February 2022, focusing on several web3 strategies. Popular liquid staking solution Lido also launched on layer 2 networks Optimism and Arbitrum in October.

These launches have all contributed to the increase in L2 gas usage. Scalability remains an important agenda in the Ethereum ecosystem, and multiple projects are announcing growth and developments.

Major L2 networks make good progress

Arbitrum saw its earnings break into the top 10 after it grew across multiple metrics. Between mid-October and November, it experienced a 134% increase in fees, totaling about $1 million. It has nearly 61,000 daily active users, which represents a 56.6% increase over the last 30 days.

Meanwhile, Optimism saw its total value locked increase by more than 90%. It now currently stands at $523 million. ZkSync also attracted attention when it deployed its STRK token on the Ethereum mainnet.

Disclaimer

BeInCrypto has reached out to company or individual involved in the story to get an official statement about the recent developments, but it has yet to hear back.