On October 28th, approximately 30 days ago, there was $22.48 billion total value locked (TVL) in cross-chain bridges to Ethereum. It was expected that after the recent dump in the market, this value would decline, but it seems that the opposite has happened. Rather than decreasing, the TVL has actually gone up by almost 9.56%. The largest TVL at the time of writing was held by Axie Infinity’s Ronin Bridge and it has a total number of 135,148 depositors. The total value locked in the world of decentralized finance (DeFi) is approximately $258 billion, but it is important to note that it has been divided amongst a variety of blockchains.
These blockchains include some prominent names, such as Ethereum (ETH), Solana (SOL), Binance Smart Chain (BSC), terra (LUNA), Avalanche (AVAX), Polygon (MATIC), Fantom (FTM) and tron (TRON). Of the total TVL worth $258 billion, around 65.89% of it is commanded by the Ethereum (ETH) network, which makes it around $170.48 billion. Binance Smart Chain (BSC) comes next, which has about 7.40% of the TVL and this makes it around $19.1 billion as of Saturday. As far as Solana is concerned, its share of the TVL is around 5.37%, which makes it a figure of $13.86 billion.
It is important to note that a number of these decentralized finance networks are taking advantage of the connection to the EVM (Ethereum Virtual Machine) that helps the protocols in doing a myriad of things. This includes staking tokens and accessing liquidity pools. Users can leverage cross-chain bridges for connecting their assets to the EVM and for utilizing Web3 wallets, such as Safepal, Metamask, and more. On October 29th, almost a month ago, it had been reported that the TVL of the cross-chain bridges to Ethereum had reached $22.8 billion.
But, as mentioned above, this appears to have increased by 9.56% because the TVL is actually now $24.63 billion and the Ronan Bridge by Axie Infinity is leading the pack. Dune Analytics has provided some statistics that show that cross-chain networks to Ethereum have been leveraged by a total number of 135,148 depositors. Other than Ronin, there are also more cross-chain bridges, such as Optimism, Harmony, Polygon, Fantom, Avalanche, Boba Network and Arbitrum that connect to blockchains. While the TVL for Ronin’s bridge is around $7.4 million, AVAX’s TVL is around $6.7 billion. Bridges, such as Optimism and Arbitrum, are used for leveraging Ethereum transactions, but they are different because they charge lower fees.
In recent times, there has been a drop in Ethereum fees and the average fee was calculated to be about $9.64 for every transaction. However, the L2 (Layer 2) fee that users are offered at Optimism, Arbitrum and Polygon Hermez for every transfer is around $1.67, $2.78 and $0.25, respectively. As far as L2 fees of Zksync and Loopring are concerned, users will be required to pay $0.39 and $0.26, respectively, for every transaction they make. These numbers are undoubtedly impressive and indicate the potential of growth of this particular area of the crypto space.