Altcoin
Polygon zkEVM fails to impress, what does the future hold?
Competition intensifies as zkSync Era outperforms Polygon zkEVM. MATIC surges, but network growth decline suggests challenges in retaining interest.
- Transaction activity on zkSync Era surpassed Polygon zkEVM.
- MATIC surged, but network growth declined, pointing to challenges in sustaining interest.
The zkEVM sector has continued to get crowded as competition increased between Polygon [MATIC], StarkNet, and zkSync Era. Notably, transaction activity on these protocols has surged since May for all three protocols.
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However, Polygon has not been able to make a significant mark in this sector.
The zkEVM race intensifies
According to Dune Analytics’ data,
transactions on zkSync Era have far exceeded those on Polygon zkEVM, indicating a higher level of adoption and usage for zkSync.Due to these factors, zkSync has achieved a Total Value Locked (TVL) of $602 million in assets locked in the bridge. Alongside, there was an impressive milestone of 1 million unique addresses, highlighting growing popularity and user engagement.
A breakdown of the TVL revealed that 75.7% of the locked value consisted of assets in the form of Ethereum [ETH], indicating a strong presence of Ethereum-based assets within zkSync.
Among the total number of depositing addresses, 36% have not utilized Arbitrum [ARB] or Optimism [OP], indicating that a substantial portion of users have yet to leverage these specific Layer 2 scaling solutions.
Source: Dune Analytics
Looking at Polygon
In contrast, when considering Polygon DeFi’s zkEVM, a different set of statistics emerged, which suggested lower adoption and engagement compared to the zkSync Era.
In terms of depositing addresses, 11.9% have not utilized Arbitrum or Optimism, suggesting a portion of users who have not yet engaged with these specific Layer 2 scaling solutions.
Additionally, 31.9% of the depositing addresses were created after the launch of the zkSync Era, demonstrating a notable increase in user activity following its introduction.
Compared to the zkSync era, 42.3% of these addresses on Polygon’s zkEVM do not actively participate in DEX’s or NFT activities, indicating a diverse user base with varying interests within this ecosystem.
Source: Dune Analytics
Realistic or not, here’s MATIC’s market cap in BTC’s terms
Despite Polygon’s zkEVM not being able to perform as well as its competitors. MATIC had a good week in terms of price, trading at $0.673 at press time. This can be attributed to an increase in the number of holders of MATIC.
However, during the same period, the network growth for MATIC declined. This implied that new addresses were losing interest in MATIC over time.
Source: Dune Analytics
