Degen Chain Sets Record for Fastest Transaction Processing Speed in Ethereum Ecosystem
As a crypto enthusiast, you would be thrilled to learn that Degen Chain, an up-and-coming Ethereum layer-3 network, has achieved an extraordinary milestone in transaction processing speed. Within the Ethereum ecosystem, it currently holds the title for the highest transactions per second (TPS) rate.
The Rise of Degen Chain’s Transaction Processing Speed
– In the last 24 hours, Degen Chain’s TPS has surged by 68.56% to reach an impressive 37.12, surpassing its layer-2 counterpart, Base, which recorded a TPS of 30.81, according to L2BEAT.
Standout Performance in the Blockchain Arena
– Degen Chain has outshined major blockchain competitors like Arbitrum One, Ethereum, and zkSync Era with its remarkable TPS achievement. Processing a total of 3.2 million transactions in one day at a TPS of 37.12, it has positioned itself as a standout performer in the industry.
– Over the past 30 days, Degen Chain has processed 43.41 million transactions, ranking fourth after Base, Linea, and Arbitrum One.
Economic Impact of Degen Chain
– Despite its impressive TPS performance, Degen Chain’s economic impact raises questions. With a trading volume of just $788,813 over the same period, the average transaction value on the network is approximately $0.24.
– In comparison, Ethereum and Base have recorded significantly higher transaction values of $2,166 and $172, respectively. This disparity in transaction values raises concerns about the economic utility of Degen Chain’s high TPS.
Critique of the TPS Metric
– Critics of the TPS metric argue that it fails to consider the economic and computational significance of transactions. Steven Goldfeder, co-founder at Offchain Labs, likens it to counting the number of bills in your wallet without acknowledging their denominations, highlighting the importance of assessing both quantity and quality in blockchain performance evaluation.
Origin and Growth of DEGEN Token
– Originally functioning as a tipping token on Farcaster, a decentralized social media platform, the DEGEN token gained popularity by facilitating small transactions among users. This popularity led to the development of the Degen Chain.
– Currently, the total value locked on Degen Chain amounts to $4.5 million, and the three-month-old DEGEN token boasts a market capitalization of $385.2 million, experiencing a 27.62% increase in the past 24 hours.
Technology and Scalability of Degen Chain
– Designed as an ultra-low-cost, application-specific layer-3 blockchain, Degen Chain utilizes Arbitrum Orbit technology and leverages the settlement layer of Base to enhance its scalability and performance.
Hot Take: Unraveling the Potential of Degen Chain
Delve into the world of Degen Chain, an Ethereum layer-3 network that has pushed boundaries in transaction processing speed, challenging industry norms and setting new standards for blockchain performance. With its impressive TPS rate and innovative technology, Degen Chain stands out as a promising contender in the evolving crypto landscape. Explore the economic implications and technological advancements of Degen Chain to gain valuable insights into its future trajectory and market impact.
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