Tag: Layer-2 Solutions

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Layer-2 solutions are attracting billions of dollars in total value locked (TVL). Notably, the TVL of layer-2 solutions jumped from roughly $800 million in September 2021 to over $5 billion at the time of writing. This kind of interest has many investors believing that layer-2s are the future of Ethereum.

Ethereum's Layer 2 is still in its infancy but is already showing tremendous growth potential. Take Arbinyan, for example. It was Arbitrum's first significant yield farm. It proved to be a catalyst for spurring Layer-2 adoption, demonstrated by the total value locked (TVL) exploding from $238 million to over $2.5 billion in less than a week. This rocket ship of a yield farm is one example of how projects can create overwhelming demand by deploying to Layer 2.