ONโ€“249: Layer 1s ๐Ÿ›ฃ๏ธ

Coverage on BNB Chain, Polygon, Aptos and Ethereum.

Jul 9, 2024

ONโ€“249: Layer 1s ๐Ÿ›ฃ๏ธ
Distributed research for distributed networks โ€” OurNetwork is crypto's go-to platform for onchain analytics.


Layer 1s ๐Ÿ›ฃ๏ธ

BNB Chain, Polygon, Aptos & Ethereum.

๐Ÿ“ˆ Global L1 active user base +92%, DEX volumes +125% in 12 months

  • Layer 1 blockchains are seeing overall growth in their network effects as can be seen in their active user base. The total daily active addresses across layer 1 blockchains increased by 92% over the past year, reaching a new ATH of 10M in May 2024.
  • Global DEX volumes across Layer 1 blockchains increased 125% over the past year (7d MA). Ethereum leads the pack with a 45% market share, followed by Solana (34%) and BNB Chain (13%). Solana has had the largest gain in market share over the past year (17x).
  • Daily stablecoin transfers have grown 67% in 12 months, from 6.3M/day to 10.5M/day (7d MA). BNB Chain drives the largest share of stablecoin transfers today (32%), taking market share from Solana (28%) YTD.
  • ๐Ÿ’ฆ๐Ÿ”ฌ Tx-Level Alpha: Stablecoin coin volume reached new ATHs on Solana due to a few MEV bots and Phoenix Trade DEX. In June, a top MEV botter stopped operations making stablecoin volumes drop 82% to 9B/day instantly. The attached address belongs to that MEV bot.

โ‘  BNB Chain โšก

๐Ÿ“ˆ BSC's DAU consistently ranks as the highest among L1 platforms ๐Ÿ‘ฅ

  • According to BscScan, the number of daily active users on BNB Smart Chain (BSC) ranges between 1M and 1.6M, nearly double that of Ethereum. BSC consistently ranks as the Layer 1 chain with the highest number of daily active users, second only to its own Layer 2 network, opBNB, in the entire blockchain industry. Additionally, BSC's gas prices are the lowest among Layer 1 chains, at less than $0.03, making it an extremely attractive option for developers.
  • At ~$6.4B, BNB Smart Chain (BSC) ranks third in TVL among Layer 1s, behind Ethereum and Tron. Within BSC, Venus, a money market protocol, and PancakeSwap, a DEX, lead with a combined TVL of ~$3.5B. BSCโ€™s EVM compatibility, fast finality, and on-chain governance make it a powerful DeFi platform.
BNB Chain Internal Dashboard
  • This year, BSC has consistently processed 3M-5M daily transactions, hitting a year-in peak of  ~6.4M transactions on February 22, 2024. All this whilst charging minimal fees and maintaining a steady throughput of up to 2,000 TPS.
  • ๐Ÿ’ฆ๐Ÿ”ฌ Tx-Level Alpha: On December 7, 2023, BNB Smart Chain (BSC) processed 32M transactions in a day, doubling its previous record and surpassing all EVM blockchain benchmarks. Despite the surge, BSC maintained a gas price of 3.7 Gwei (which is very close to 3 Gwei - the average BSC gas price), thanks to its 140M gas per block capacity, over 4 times that of Ethereum and Polygon. This transaction took place during the spike and you can see that the transaction fees were still the standard $0.03.

โ‘ก Polygon ๐ŸŸฃ

๐Ÿ‘ฅ Peter | Website | Dashboard

๐Ÿ“ˆ Polygon: home to 70% of prediction market TVL and $809M worth of betting volume

  • More than 70% of the TVL in prediction markets is concentrated on Polygon, primarily driven by Azuro and Polymarket. Notably, both protocols have experienced an increase in the number of their monthly active wallets, with both also reaching an all-time high last month. Due to the nature of prediction markets as benchmarks for accurate information, these two protocols have gained widespread recognition (even by Elon Musk!) as reliable sources of public opinion and insights on key public events like the US elections and Euros 2024.
DeFi Llama and Dune Analytics - @rchen & @azuro
  • Since its launch in 2023, Azuro has achieved over USD $85M in betting volume, generating over $4M in revenue. The majority of its betting volume comes from sports, with football, basketball, and ice hockey contributing the most. Currently, 95% of its total value locked (TVL) is on Polygon, amounting to approximately $7M.
Dune Analytics - @azuro & cryptokoryo_research
  • Today, Polymarket has USD $46M worth of functional markets on their platform, reflecting a 68% growth from the previous month. Additionally, $8M is held in Safes, dedicated self-custodial wallets for user deposits before betting. This amount is double that of the previous month.
Dune Analytics - @cryptokoryo_research & @petertherock
  • ๐Ÿ’ฆ๐Ÿ”ฌ Tx-Level Alpha: One of the biggest bets in the prediction market made was worth $140k by this particular owner of the Safe. It was on the question of whether Ethereum ETF would be approved by 31st May.

โ‘ข Aptos ๐ŸŒ

๐Ÿ“ˆ Aptos sees nearly 10M new users, breaks L1 industry record in 2024

  • Since the start of 2024, nearly 10M new users have joined Aptos with 55% from DeFi & DEX platforms such as Merkle Trade, Cellana, Aries Markets and Amnis Finance. In the week of June 30 alone, Aptos registered more than 780,000 active users and welcomed more than 480,000 new users.
Flipside - @cristinatinto
  • Data from Flipside also reports that the Aptos network has successfully executed nearly 200M blocks as of July 8, with over 2.7M blocks executed during the week of July 1 alone. This is a near 10% increase week-over-week. 
Flipside - @cristinatinto
  • Aptos broke a record on May 25 for the most daily transactions on a Layer-1 blockchain, reaching 160M at its peak. The peak in transaction activity was supported by Taposโ€”a viral clicker game that launched on Aptos in which each user click results in a transaction on the network. 
  • ๐Ÿ’ฆ๐Ÿ”ฌ Tx-Level Alpha: During the week of June 24, Aptos transactions hit over 10.5Mโ€”surpassing a major milestone with over 1B total transactions on the network. The milestone underscores adoption of Aptos by its vibrant community.

โ‘ฃ Ethereum ๐Ÿฆ„

๐Ÿ“ˆ Ethereum dominates other chains in terms of TVL by a factor of 7+, DEX activity is more competitive betweens L1s; ETH supply is up 0.1% since mid-March

  • With a market capitalization of $366B, Ethereum is the world's most valuable smart contract platform and the 31st most valuable asset globally as of July 8. In terms of TVL, Ethereum leads the next leading smart contract platform, Tron, by a factor of 7. And in terms of DEX volume, Ethereum also leads all platforms where it regularly processes $2B+ daily and rarely falls below the $1B mark. That said, the competition is more heated among L1s' DEX activity โ€” Solana has passed Ethereum in terms of DEX volume a handful of times in 2024.
  • Activity on Layer 2s, which execute EVM compatible transactions before posting the data to Ethereum, have long surpassed mainnet in terms of transactions per second โ€” Ethereum tops out at roughly 14 TPS while L2s and L3s combined have averaged over 250 TPS since mid June. Ethereum, still the go-to option for high value transactions, still beats out leading L2s like Arbitrum and Base in terms of DEX volume however.
L2BEAT & Artemis
  • Ethereum's supply has increased 0.10% since its Mar. 13 when the Dencun upgrade went live. Dencun reduced transaction fees and thus the amount of burned base fees, which are denominated in ETH. The trend of increasing supply has run counter the the "ultra sound money" narrative which highlights ETH's potential to be deflationary. ETH's supply is still down 0.26% since the Merge however and transaction count is still stable at roughly 1.1M per day.
ultrasound.money & Etherscan

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