Competition between Layer-One (L1) smart contract platforms has increased in recent months as merchants and developers continue to adopt Ethereum (ETH) network alternatives that offer faster transaction times and lower fees.
According to a recent report by Delphi Digital, the price of Ether has remained relatively constant over the past month, while competitors such as Solana (SOL) and Fantom (FTM) have increased their prices by more than 200% over the same period.
One of the drivers behind the Fantom (FTM), Avalanche (AVAX) and Terra (LUNA) rallies is the fact that both have launched various multi-million dollar funding initiatives to attract developers, investors and new liquidity to ecosystems.
These initiatives sparked a spate of new activity and cross-chain transfers from the Ethereum network to the Layer 1 projects, and to date Solana has made the greatest profits.
When it comes to individual applications on the various blockchains, the Avalanche-based Trader Joe DeFi Protocol has seen the greatest gain in terms of TVL in the past seven days, as the value of the protocol has increased by 57%.
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Layer 2 platforms increase their gas consumption
It’s not just Ethereum’s Layer-One competitors that have seen a surge in activity over the past few months. The introduction of several new Layer-Two solutions and an airdrop of the decentralized futures exchange dYdX (DYDX) have led to an increase in gas consumption due to Layer-Two protocols.
Data from Delphi Digital shows that the level of gas used by Layer 2 solutions is now over 1% after rising to 2% in early September.
The DYdX protocol was one of the early adopters of Layer 2 technology thanks to a collaboration with Starkware, and the protocol has grown in popularity in the last few weeks following the release of its DYDX governance token sent to users on September 8th, experienced a new level of activity that had previously used the protocol.
Since the Airdrop was released, the TVL, which is tied to the dYdX, has grown from $ 422 million to $ 554 million, and the 24-hour training volume has gone from $ 700 million to $ 2.4 billion -Dollars increased.
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