stub Worldcoin Debut Hands Optimism Short-term Boost against Arbitrum - Securities.io
Connect with us

Optimism News

Worldcoin Debut Hands Optimism Short-term Boost against Arbitrum

mm

Published

 on

Securities.io is committed to rigorous editorial standards. We may receive compensation when you click on links to products we review. Please view our affiliate disclosure. Trading involves risk which may result in the loss of capital.

Ethereum layer-2 network Optimism recorded a swell in network activity this week as the number of daily transactions surged to 844,290 on Tuesday, surpassing rival network Arbitrum, which registered 630,534 on the same day. Optimism (OP) tracked higher figures than Arbitrum again on Wednesday – 808,942 transactions against 664,821 transactions on the latter network.

Optimism and Arbitrum daily transactions comparison. Source: Dune Analytics

The spike in daily transactions has been chiefly driven by the hype around Worldcoin, which launched its mainnet earlier this week despite the controversy surrounding the AI-influenced crypto project. Nonetheless, Worldcoin has attracted thousands of holders in the first week of its protocol launching after completing the migration to the OP mainnet.

To learn more about Worldcoin, check out our Investing in Worldcoin guide.

The Worldcoin Foundation, the governing body for the Worldcoin ecosystem, previously announced in May that its development team, including early protocol contributors at Tools for Humanity (TFH), would build a scalable blockchain ecosystem for the ecosystem on the OP Stack. The commitment involved the migration of World ID and World App wallet to OP mainnet, followed by the token's trading debut this week.

Optimism separately implemented its Bedrock hard fork in June as part of efforts to improve proof modularity and make it a multi-client ecosystem in preparation for evolving the network into a Superchain

Optimism DeFi ecosystem

The upgrade brought several changes to the layer-2 scaling solution, including lowering gas fees and significantly reducing the deposit confirmation times. Despite tracking notable milestones in recent months, Optimism is still dwarfed by Arbitrum in total value locked (TVL) with $919 million against Arbitrum's $2.1 billion TVL figure, according to DeFi Llama.

Arbitrum DeFi ecosystem. Source: DeFi Llama

To learn more about Arbitrum, check out our Investing in Arbitrum guide.

Dune Analytics data further shows Arbitrum has maintained its lead over Optimism in number of daily active addresses by chain over the past six months.

Optimism and Arbitrum active addresses comparison.

Optimism's native token (OP) was trading slightly below $1.50 on Friday, down 4.95% in the past 24 hours as holders brace for potential selling pressure from an upcoming token unlock over the weekend.

OP/USD price chart. Source: TradingView

A total of 24.16 million OP tokens will be unloaded to core contributors and investors on Sunday per its vesting schedule.

To learn more about Optimism, check out our Investing in Optimism guide.

Sam is a financial content specialist with a keen interest in the blockchain space. He has worked with several firms and media outlets in the Finance and Cybersecurity fields.