Cryptocurrency traders and investors seem to have set their sights on the Optimism (OP) ecosystem, as their activity shows that they see it as a good option to make big profits, a trend that has been seen in previous bull runs for other blockchains.
Trading activity on Optimism has been steadily increasing over the past few weeks, and has even surpassed that of rival chain Arbitrum, which is down nearly 50% from its peak last November.
This bodes well for us
Optimism’s performance can also be seen as a harbinger of things to come. History has shown that when a blockchain’s activity steadily increases, it acts as an incentive for both investors to buy its tokens and developers, builders and users of decentralized applications on the chain (dApps), in this case Optimism.
Optimism, a level-2 blockchain on top of Ethereum, enables cheap and fast transactions and was launched last year along with other competing networks.
Impressive rise
Optimism’s progress is also reflected in the numbers. Last week, the ecosystem recorded more than 800,000 transactions in a single day, a figure that is almost double the network activity seen last November and more than ten times higher than last June.
Value Locked and Synthetix
The total value locked (TVL) on Optimism is just under $600 million, with the popular Synthetix trading protocol accounting for 18% of this total TVL.
Synthetix allows investors to bet on financial derivatives without relying on third-party trading and clearing systems, giving a niche market of users the ability to invest in global assets – such as equities – at low commissions.
High rewards
Many performance platforms on Optimism offer annual rewards of as much as 100% on certain liquidity pools, according to DeFiLlama data, attracting even more investment funds.
