Uniswap’s decentralized exchange saw roughly twice the amount of Ethereum layer-2 wallet addresses compared to June.
Dune analytics data indicated that 8.5 million Ethereum addresses were transacting on Uniswap via L2s such as Arbitrum, Base, Optimism, Polygon, and ZKSync, representing a new all-time high.
In June, Uniswap generated nearly $100 million in fees, making it the largest DEX on any blockchain. The second-largest decentralized network in the crypto industry is facilitated by ETH layer-2s, which are located either on top of or adjacent to Ethereum’s mainnet.
Despite the fact that Vitalik Buterin’s co-created blockchain is renowned for its secure permissionless transactions, on-chain bottlenecks frequently occur, thereby elevating the cost of asset transfers.
L2s were developed to alleviate the congestion of ETH’s primary chain and provide a more cost-effective method of transacting on the largest decentralized finance ecosystem.
Ethereum L2 Addresses Rise, but TVL is Down
Compared to Ethereum, protocols such as Base and Polygon already had lower transaction costs, referred to as “gas fees.”
Nevertheless, this offer was enhanced by the March Dencun enhancement. On layer-2 networks, the cost of sending Ether is less than $1, and the cost of exchanging digital assets is under $3, according to L2Fees.
This affordability is likely a significant factor in the increase of L2 addresses since February, which occurred shortly before developers released Dencun.
Total user deposits, also known as total value locked (TVL), have decreased across DeFi chains, including Ethereum and its L2s, as this pattern has occurred.
In the past 30 days, there have been declines of up to 25%, as indicated by DefiLlama data. Declining TVLs echoed a broad downswing in altcoin sectors and market corrections.
