Ethereum
Ethereum L2 ecosystem throughput expected to surpass Solana by 100x in 5 years: analyst
The Layer 2 ecosystem remains robust with EVM (Ethereum Virtual Machine) protocols and scaling platforms growing rapidly and becoming ubiquitous, contrary to some bearish claims, said Ryan Berckmans, a member of the Ethereum community, in an article on X on June 26.
His comments followed a post from Movement Labs founder Rushi Manche, who said, “L2 EVMs will go to zero. they mostly suck compared to SOL.
Berckmans countered that the L2 ecosystem continues to “grow at a breakneck pace,” citing ecosystem analytics platforms such as L2beat before adding: “Coinbase has created an L2 EVM. Worldcoin did it too. Immutable X too. »
Impressive growth of layer 2
Additionally, layers 2 are considered an integral part of Ethereumnot just a scaling solution, he said before asserting that L2s on the second largest blockchain offer better value than alternative layer 1 networks due to the “credible neutrality” of ‘Ethereum as a base layer.
Additionally, Ethereum’s ecosystem is larger and more diverse than its competitors in terms of liquidity, mature protocols, and total value locked, contradicting Manche’s arguments asserting Solana is superior.
Berckmans predicted that L2s would significantly exceed Solana’s transaction throughput in the coming years.
“Regardless of either L2, the total TPS of the L2 ecosystem will soon far exceed that of Solana. In five years, about 100 times.
He also argued that Ethereum’s layer-2 ecosystem is considered more attractive to businesses and governments due to its security and decentralization properties. He described a “settlement network effect” for Ethereum, where the growing ecosystem of layer-2 protocols increases the benefits and reduces the costs of settlement on Ethereum.
Berckmans concluded that Manche’s comments make it seem like L2 EVMs are dead and L2s aren’t that important, adding, “But neither of those things are true.”
“What we’re really seeing is that Ethereum’s L2 model is killing it, and EVM is far and away ahead.”
L2 ecosystem perspectives
The total value locked across all L2 protocols is currently $42.86 billion, according to to L2beat. Moreover. This TVL has remained stable since March despite an 18% decline in crypto markets over the same period. Since the same period last year, L2 TVL has increased by approximately 280%.
Arbitrum One leads the L2 pack with a TVL of $17 billion and a market share of nearly 40%. Coinbase Base is in second place with $7.3 billion TVL and 17% share and OP Mainnet is third with $6.4 billion and 15% share.
L2beat lists 58 protocolswhich speaks to the growth of the ecosystem compared to the handful listed about a year ago.