Layer 2 Ecosystem Overview: In-depth Analysis of Five Major Projects including Arbitrum, Optimism, zkSync

[Chain News] Institutional Research Report: A Comprehensive Analysis of Layer 2 Ecosystem Development, Covering Protocols such as Arbitrum, Optimism, ZkSync, and More.

In the past month, the TVL of Ethereum Layer 2 networks has grown by nearly 35%, reaching $13.6 billion. Fundraising and launches of Layer 2 projects have also occurred frequently, such as Scroll's funding round and the mainnet launch of Arbitrum Nova.

This article will provide a comprehensive analysis of the current development status of the Layer 2 ecosystem, including the technical routes, development progress, and ecological construction of major projects.

1. Arbitrum

Arbitrum is currently the largest Layer 2 project, with a TVL of $5.42 billion. Arbitrum utilizes Optimistic Rollup technology to enhance Ethereum's scalability by moving transaction computation and data storage off-chain.

The main advantages of Arbitrum include:

• Fully compatible with EVM, developers can easily migrate Ethereum Dapps to Arbitrum
• The transaction fees are low, only a fraction of that on the Ethereum mainnet.
• A rich DeFi ecosystem, including well-known projects like Uniswap, Sushiswap, Curve, and more.

2. Optimism

Optimism is another Layer 2 solution that uses Optimistic Rollup technology. Its current TVL is approximately $3 billion, making it the second largest Layer 2 project.

Main features of Optimism:

• Similar to Arbitrum, it is also EVM compatible.
• Handle transactions in an "optimistic" manner to significantly increase transaction speed
• Holding the native token OP for governance and incentives.

3. zkSync

zkSync adopts ZK Rollup technology to improve scalability through zero-knowledge proofs. The zkSync 2.0 testnet is now live, and the mainnet is about to launch.

Advantages of zkSync:

• Using ZK Rollup technology, higher security
• Supports smart contracts, compatible with Solidity
• Fast transaction confirmation speed, low fees

4. StarkNet

StarkNet also uses ZK Rollup technology, developed by StarkWare. The alpha version of the mainnet is now online.

Features of StarkNet:

• The learning cost of using the Cairo programming language is relatively high.
• Highly scalable, theoretically capable of handling an unlimited number of transactions.
• Large DeFi projects like dYdX use StarkNet technology

5. Polygon zkEVM

Polygon recently launched the zkEVM testnet based on ZK Rollup, aiming to provide a fully EVM-compatible ZK Rollup solution.

Highlights of Polygon zkEVM:

• Fully compatible with EVM, developers do not need to learn a new language
• Inherits the advantages of the Polygon ecosystem
• Expected to significantly lower the entry barrier for users

Overall, the Layer2 ecosystem is thriving, with projects of different technical routes each having their own characteristics. With the continuous improvement of these projects and the launch of the mainnet, Layer2 is expected to become a key force in promoting the large-scale application of Ethereum.