Research Summary
This report provides an in-depth analysis of Layer 2 solutions in the crypto space, focusing on Optimism, Arbitrum, Zora, and the Public Goods Network (PGN). It discusses their recent developments, performance metrics, and unique features. The report also introduces a new product for the OurNetwork community, NFT Open Editions powered by Zora.
Key Takeaways
Optimism’s Performance and Superchain Vision
- Optimism’s Transaction Fees: In August, Optimism’s four chains generated 4.4k ETH in total transaction fees, resulting in 2.2k ETH of Net Onchain Revenue.
- Superchain Vision: Optimism aims to integrate siloed L2s into a single interoperable and composable system, facilitating the creation of horizontally scalable web applications.
- Gas Usage: Over the last 30 days, the four chains processed 4.6M gas per second, 3.7x Ethereum L1, while only being 46% utilized in aggregate.
Arbitrum’s Market Dominance and Growth
- Arbitrum’s Market Share: Arbitrum One occupies 54.31% of the roll-up market, leading in both DEX trading volume and bridged ETH count.
- Nova’s Growth: Arbitrum Nova’s growth has accelerated with 3 new CEXs adding support and transaction count sitting at about 6.6M tx/month.
- Orbit’s Deployment: Arbitrum released Orbit in March, which allows developers to easily and permissionlessly deploy customizable Layer 3 chains that settle to Arbitrum One or Nova.
Zora’s Creator Growth and L2 Adoption
- Creator Growth: Zora Network experienced 97.51% month-over-month (MoM) growth in creators in August, with more than 40k creators using the platform.
- Transaction Growth: Since June, Zora has seen transaction growth triple MoM, surpassing 7M total transactions.
- L2 Adoption: Zora’s share of total fees continues to steadily increase, reaching 10% of the OP stack chains, indicating that the move to its own L2 is resonating with NFT collectors and creators.
Public Goods Network’s Launch and Impact
- PGN’s Launch: Public Goods Network (PGN) is a low-cost Layer 2 OP Chain that launched on July 25, supported by an alliance of public goods advocates.
- Wallet Creation: Since launch, 12,474 unique wallets have been created on PGN.
- Impact on Transaction Volume: Gitcoin grants had a strong impact on transaction volume, demonstrating potential for sustainable future revenue.
Actionable Insights
- Explore Layer 2 Solutions: Given the performance and growth of Layer 2 solutions like Optimism, Arbitrum, Zora, and PGN, it may be beneficial to explore these platforms for potential opportunities.
- Consider the Potential of NFTs: With the introduction of NFT Open Editions powered by Zora, there may be potential for new forms of engagement and support within the OurNetwork community.
- Monitor the Impact of Public Goods Advocacy: The launch and growth of PGN, supported by an alliance of public goods advocates, may indicate a trend towards more socially conscious crypto platforms.
