Optimism userbase expands as L2 scaling solutions take center stage, more inside

• Optimism’s user base clocked a weekly growth rate of 55%, the highest among all layer-2 solutions.
• The TVL exceeded $2 billion at the time of writing, representing a growth of 11% in the last 30 days.

It’s the season of layer-2 (L2) blockchains. With the launch of two important rollups last month- Polygon [MATIC] zkEVM and zkSync Era, the buzz around L2 scaling solutions has increased to new heights.

Read Optimism’s [OP] Price Prediction 2023-2024

Amidst this, Optimism [OP], which belongs to the Optimistic rollups family, has recorded a remarkable growth in user activity. As per a tweet by Token Terminal, the daily active users on the network soared 125% in the last 30 days. Moreover, the blockchain clocked a weekly growth rate of 55%, highest among all layer-2 solutions.

Bedrock Upgrade nears

As evident from Token Terminal’s data, the growth in users has propelled the trading activity, as the weekly transaction fees increased by 50% from the value a week before. Moreover, this was the best week for Optimism since May 2022, the onset of the crypto bear market.

The development activity too exhibited a remarkable rise since the start of the year, with the weekly average number of developers on the L2 solution reaching a five-month high of 44 in March. An increase in development activity was a reliable sign that a protocol was committed to refining and modernizing its features.

Source: Token Terminal

In Optimism’s case, the uptick in development could be due to the upcoming upgrade of Optimism Bedrock’s Mainnet. The upgrade aimed at improving the efficiency of the network by bringing a 47% reduction in protocol costs and security fees. Recently, the proposal for the upgrade was approved by Optimism’s governance team.

Open Interest for OP soars

As highlighted earlier, the competition among Ethereum’s [ETH] scaling solutions has heightened. According to L2Beat, Optimism accounted for 21% of total value locked (TVL) on L2 solutions while Arbitrum occupied the lion’s share of the landscape.

The total value of assets held by Optimism exceeded $2 billion at the time of writing, representing a growth of 11% in the last 30 days.

Moreover, there was a sharp spike in the average number of transactions per second (TPS) on the network, with the latest data showing the daily TPS as 5.10.

Source: L2Beat

Realistic or not, here’s OP’s market cap in BTC’s terms

As press time, OP traded at $2.355, an increase of 4.86% in the last 24 hours. The token recorded gains of 9% over the previous week. The demand for OP was visible in the derivatives market as the Open Interest (OI) surged to $12.84 billion, the highest in four months.

An increasing OI, in addition to increasing price, confirmed the bullish momentum.