Data Released: These Two Networks on Ethereum Are Increasingly Popular!

Ethereum (ETH) based Layer 2 protocols Arbitrum and Optimism have seen a steady increase in transaction numbers since the beginning of the year.

Both protocols hit an all-time high in the number of transactions in September.

Ethereum Layer 2 Network Arbitrum Is Also Expected To Issue A Management Token

One key difference between the two is that Arbitrum does not have a management token. Optimism officially announced the launch of its token at the end of April and launched it the following month.

Optimism’s transaction count started to rise until the announcement of the management token. The protocol saw an uptick when the token officially went live on exchanges on May 31. This has sparked interest and speculation for a potential Arbitrum token launch.

Since then, both platforms have seen a steady increase in transactions and the upward trend has continued.

Arbitrum currently has the highest Total Locked Value (TVL) of all Tier 2 networks, with a market share of around 50%. According to L2Beat, Optimism has a market share of about 30%.

In contrast, the next closest Tier 2 by market share is Metis, with a market share of 2.71%. Metis announced a 26-week incentive program on July 26, resulting in a nearly 60% increase in its TVL. But since then, TVL has dropped to just above the pre-announcement level.

Layer 2 networks derive their security from Ethereum and aim to reduce transaction costs. Arbitrum and Optimism are the most popular Optimistic Rollups to date.

*Not investment advice.