Arbitrum Surpasses Ethereum in DEX Trading Volume
Date: 2024-01-07 Author: Dima Zakharov Categories: BUSINESS
Arbitrum Surpasses Ethereum in DEX Trading Volume
In a groundbreaking development, Arbitrum, a leading second-layer (L2) blockchain network, has outpaced Ethereum in terms of trading volume on decentralized exchanges (DEX). DefiLlama's data reveals that on a recent Thursday, Arbitrum's DEX trading volume reached an impressive $1.8 billion, comfortably exceeding Ethereum's volume by close to $400 million.
This remarkable achievement comes on the heels of Arbitrum setting a new all-time high for Total Value Locked (TVL) in the last week. Additionally, the native blockchain token, ARB, saw its price reach historic highs.
The rising interest in L2 blockchains is evident not only with Arbitrum but across the L2 landscape. According to L2Beat, the cumulative TVL for these networks stands at a staggering $20.7 billion, surpassing all other Layer 1 networks except Ethereum. Furthermore, in the last 30 days, both ZkSync and Arbitrum have surpassed Ethereum in terms of transaction volume.
It's important to note that these achievements indicate that some second-layer networks are gaining traction at the expense of Ethereum's dominance. However, this does not imply a negative impact on the Ethereum mainnet.
L2 blockchains charge fees when transferring aggregated transactions to the Ethereum mainnet for final confirmation. This process ensures the immutability of the blockchain. The increasing number of second-layer transactions also contributes to mechanisms designed to induce token supply deflation for ETH.
