CRYPTO

Ethereum alternatives and Level-1 solutions are seeing stable gains in September


Competition between Layer-One (L1) smart contract platforms has intensified over the past few months as merchants and developers embrace Ethereum (ETH) network options that offer faster transaction times and lower fees.

According to a recent report by Delphi Digital, ether prices remained relatively flat last month as competitors such as Solana (SOL) and Phantom (FTM) increased their prices by more than 200% at the same time.

Relative performance of L1 token in last 30 days. Source: Delphi Digital

One of the drivers of the rally seen at Fantom (FTM), Avalanche (AVAX) and Terra (LUNA) is that each has launched multi-million dollar funding initiatives designed to attract developers, investors and their new liquidity. Ecology

These initiatives sparked a storm of new activity and cross-chain transfers from the Ethereum network to Layer-1 projects, and to date, Solana has seen the biggest gains.

The total USD value is locked in the Total Layer-One protocol. Source: Delphi Digital

When it comes to individual applications located in different blockchains, the Avalanche-based merchant Joe Defy protocol has seen the biggest gains for TVL in the last seven days as the value locked in the protocol has increased by 57%.

Total value locked in Trader Joe vs. Exchange Trading Volume. Source: Token Terminal

Related: Finance redefined: Layer-to-Growth and SEC Review, September 19-23

The Layer-2 platform increases their gas consumption

It’s not just Ethereum Level-One competitors that have seen improvement in activity over the past few months. Decentralized Derivatives Exchange dYdX (DYDX) has introduced several new layer-to-solution and an airdrop, increasing the use of gas by the layer-to-protocol.

Layer-to-vs. Layer-One gas consumes as a percentage of total gas. Source: Delphi Digital

Data from Delphi Digital shows that the percentage of gas used by Layer-to-Solutions in early September is now above 1% after rising to 2%.

The DYdX protocol in collaboration with Starkware was one of the first adopters of Layer-Two technology, and the protocol has seen a new level of activity in recent weeks since the release of its DYDX governance token, which was aired on September 8 to users who previously used the protocol.

Total value locked in dYdX vs. trading volume. Source: Token Terminal

Since the release of Airdrop, TVL locked in dYdX has grown from $ 422 million to $ 554 million, and its 24-hour training volume has grown from 700 700 million to 2. 2.4 billion.

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