Ethereum transaction fees remain high and developers are increasingly using solutions to scale. They already process more transactions than the Bitcoin network.
Tier 2 solutions in the Ethereum network can significantly reduce transaction fees and increase the bandwidth of the underlying blockchain. As noted by analyst Evan Van Ness, on September 6, Ethereum scaling protocols processed about 250 thousand transactions, while in the Bitcoin blockchain the number of transactions per day was 210 000. And, according to the analyst, the popularity of second-tier solutions is only growing.
Fun fact:
There are already more daily transactions on Ethereum’s layer2 (~250k) than on Bitcoin (~210k yesterday per @coinmetrics) $ ETH layer2 is just getting started
– Evan Van Ness (@evan_van_ness) September 6, 2021
The StarkWare solution was the leader in the number of transactions among the second level protocols – on September 6, it processed 143,000 transactions. The Arbitrum solution, launched in full mode only on September 1, processed 56,000 transactions. In third place was the Optimistic protocol with a result of 28,000 transactions.
Van Ness’s data drew criticism. Many Twitter users have pointed out that he is comparing tier 2 solutions to the tier 1 Bitcoin network. And it does not take into account the existing scaling protocols for the Bitcoin network, for example, the Lightning Network.
“Given the small volume of blocked bitcoins in the Lightning Network, few people use it. But if someone has more detailed data, I would love to see it, ”the analyst replied.
Note that yesterday the average transaction fee on the Ethereum network reached $ 40, while for a simple transaction with only ETH, the fee was $ 11. The cheapest solution of the second level for transactions with ETH was the Loopring platform, where the commission was about $ 0.4. The zkSync solution allows you to send ETH for $ 0.83, and the commissions in the Arbitrum One and Optimism protocols are $ 2.75 and $ 5.83, respectively.
As a reminder, along with the London hard fork, a mechanism for burning ETH began to work in the Ethereum network to pay part of the commissions. More than 200,000 ETH were burned in a month. The NFT OpenSea market has been placing the greatest strain on the Ethereum network for a long time.
Bits.media comment
It should be noted that comparing blockchains of different types only by the number of transactions is incorrect and does not allow judging their real throughput. Moreover, such a comparison does not speak about the number of transactions of real users and the popularity of each blockchain.
For example, in Bitcoin, one transaction can send BTC to several thousand recipients. This is not possible in Ethereum, and a similar “bulk” payment is many times more expensive, even without activating smart contracts. In addition, a large number of transactions in Ethereum are automatically made by decentralized applications. On the other hand, in the Solana blockchain, 250 thousand transactions take place in a few minutes. But the vast majority of these transactions are purely technical and do not indicate user activity.
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