Top Ethereum Layer 2 Projects by Total Value Locked

The total value of assets locked in @Ethereum Layer 2 systems is almost $38B at the moment, according to @l2beat. Let's compare the top #Layer2 projects

Phoenix, a crypto media news insights platform, has recently released a report on the top projects by total value locked (TVL) on Optimism. According to the report, AAVE and SNX are leading the chart, followed closely by VELO, STG, and UNI. The current TVL on Optimism is approximately $697.97 million.

Top Ethereum Layer 2 Projects by Total Value Locked

The total value of assets locked in @Ethereum Layer 2 systems is almost $38B at the moment, according to @l2beat. Let’s compare the top #Layer2 projects by current TVL in USD, including @arbitrum $ARB, @base, @Optimism $OP,… pic.twitter.com/joHpq4wyLe

Optimism is a layer-2 blockchain on top of Ethereum. The mainnet of Ethereum is safe for optimism, and optimistic rollups help the Ethereum community grow. That means that transactions are recorded on Optimism without any trust, but they are eventually safe on Ethereum.

Let’s look at the top Optimism projects and their performance according to the current total value locked.

AAVE and SNX Leading the Chart: VELO, STG, and UNI Following Closely

AAVE is the native token for the Aave Protocol, a cryptocurrency lending platform. It is the leading project with over $140 million in TVL.

Next is Synthetix Network Token (SNX). It is a decentralized asset insurance protocol, and it allows users to mint, hold, and trade a wide range of derivatives – including commodities, fiat currencies, and even stocks. The current TVL of SNX is around $134.45 million.

Third on the list is VELO. VELO tokens are utility tokens designed to transfer value on the Velo network and ensure stable settlement. Its TVL is around $89.12 million.

The next six projects are as follows:

Lastly, Compound, the decentralized finance (DeFi) lending protocol, has a total locked value of $20.93 million.

Final Words

When looking to improve Ethereum’s transaction throughput and speed, layer 2 solutions are crucial. Optimism is one of the top layer-2 solutions on Ethereum. It enables users and developers to benefit from the latter’s strong security guarantees while being cheaper and faster. The OP token is used for governance.