U.At present – Basis contributor Josh Stark observed a significant achievement for Ethereum-based ecosystem of second-layer networks. In 2021, 20% of his followers have been certain that this “flippening” would by no means occur.

Ethereum (ETH) L2s achieved historic milestone

Within the first days of 2024, the aggregated sum of worth locked in Ethereum-based L2 protocols exceeded that of all non-Ethereum blockchains. Whereas Ethereum L2s are liable for $20.7 billion in equal, the remainder of blockchains amassed $19.6 billion, as observed by Stark at this time, Jan. 4, 2024.

In the meantime, he pressured that the metrics can’t be handled as precisely related: For second-layer networks, the indicator refers back to the sum of property on L2, together with native tokens. For L1s, the metrics replicate the sum of property locked in dApps on this or that blockchain.

The analyst used L2Beat’s knowledge for monitoring second-layer blockchains and DefiLlama to research what is occurring on non-Ethereum L1s.

It’s fascinating that again in September 2021, he requested his viewers in regards to the date of this “L2-over-L1” flippening. Whereas the vast majority of his followers have been certain that this reality might happen in 2022, 20% answered that it will by no means occur.

The L2s ecosystem was 20 instances smaller than the L1s one, as of the date of the primary voting. Throughout the crypto winter, this hole grew to become much more dramatic; its peak was reached amid the Terra/Luna collapse in Q1, 2022.

Arbitrum (ARB) dominance inches nearer to 50% once more

As demonstrated by L2Beat, the ecosystem of Ethereum’s L2s registered an all-time excessive in TVL on Jan. 2, 2024. The metric jumped above $20.78 billion in equal, including over 330% in only one yr.

The L2s scene stays closely “concentrated”: Solely 5 networks — Arbitrum (ARB), OP Mainnet (Optimism, OP), Base, Metis Andromeda and Manta Pacific — are liable for over 90% of its TVL.

Arbitrum (ARB), the biggest Ethereum-based L1, is rebuilding its dominance after a small decline. As of printing time, it’s one step away from the 50% barrier.

For the closest competitor, OP Mainnet, this indicator equals 28.65%, L2Beat says.

This text was initially revealed on U.At present