Over time, Ethereum has seen a slew of Layer-2 solutions emerge, with the race to the top never ending. However, the emergence of Boba Network has pushed some long-standing L2 solutions to the #2 spot.
Who is the new Ethereum L2 champion?
Arbitrum has had a stronghold on Layer-2 solutions, but second place has been a source of contention for some time.
It was once occupied by Optimism, but after October, it was taken over by dYdX. And now the Boba Network has taken its place.
For months, Boba Network’s TVL has been dragging in the $40 million range. However, that has changed this month, as its TVL has increased from $87 million to $1.4 billion in the last ten days. Simply put, the project’s value has increased by 1,551 percent during the aforementioned time period.
The reason for this rapid expansion is that protocols started to be built and developed on Boba. Specifically, OolongSwap, Boba Network’s first AMM DEX.
TVL is skyrocketing.
The DEX’s TVL was $9 million 12 days ago and is now $477 million – a 5200 percent increase.
With over 5000 users, the network holds over 95,977.21 ETH worth nearly $397 million.
Despite the fact that the L2 only has 5 protocols, it has outperformed the likes of Optimism, which has 9 protocols active on the network.
This week, the rise of OolongSwap has contributed significantly to Ethereum’s overall TVL. Especially given that, while DEXes are the second largest contributors, their performance the previous week was dismal, falling by 6.51 percent.
This week, however, the same hike increased by 4.08 percent.
On November 22, the network also launched its own token. It was trading at $7.5 at its peak, having risen by 80 percent in four days prior to yesterday’s corrections, when it fell by 24 percent. At the time of writing, it was trading at $6.05 per share.
Boba Network is constantly expanding. That’s a good sign, especially since it just passed the 100,000 transaction mark a few days ago. However, with Ethereum, the high gas fees are an ongoing concern that could stifle Boba’s growth in the future.