- Loopring has witnessed increased trading activity.
- Meanwhile, GameStop Partnership speculations are still alive.
- LRC had its price surging 345% over last month.
Loopring exchange is among the many Layer2 decentralized platforms that have witnessed increased adoption as Ethereum records even higher transaction fees.
Loopring is a layer2 (L2) decentralized exchange that scales Ethereum transactions, utilizing zero-knowledge rollups. As gar charges explore painful levels, the DEX has witnessed increased usage within the last few months. Loopring claims the capability to settle 2,025 trades every second with transaction fees averaging at 0.15 – 0.30% of charges on ETH L1.
Wu Blockchain, a Chinese media outlet, observed the massive increase in Loopring adoption, saying that the platform’s total trading volume surpassed $3 billion recently. LRC price reflected increased network activity, rising 10-times to touch its highest level since October.
Using the Delphi Digital chart, Wu stated that trading volumes and activities on the decentralized exchange have skyrocketed since October. Meanwhile, DaapRadar data indicates that Loopring’s total value locked has risen by 570% since October, hitting an ATH at $765 million on 25 November.
Loopring received attention recently following partnership rumors with GameStop, a gaming giant. Though there wasn’t an official report on the collaboration, speculation on the partnering dominated the NFT marketplace.
Layer2 Market Condition
Meanwhile, Loopring isn’t the only Layer2 scaling network to record increased liquidity and users.L2beat data shows the L2 ecosystem’s TVL nears a record peak of $6.9 billion. For now, Loopring is the 4th largest L2 platform, boasting a market share of 9.7%.
Arbitrum leads the L2 marketplace, favoring optimistic rollups than zero-rollups. For now, Arbitrum has a total value locked of 42.74 billion, with a market share of nearly 40%. The L2 network has onboarded an increased crypto platform, Tornado Cash, an ETH privacy protocol, being its recent inclusion.
Boba Network ranks second as far as L2 TVL is concerned. It is a ‘smart’ contract scaling network that also utilizes optimistic rollups. Boba has seen its TVL surging 29% last week towards $1.39 billion, translating to a 21% market share. DEX derivatives platform dydx comes third, above Loopring, boosting $933 million in TVL.
LRC Price Viewpoint
The increase in Loopring platform usage bolstered LRC’s price since the token also provides yield farming incentives. For now, LRC trades at $2.80. Meanwhile, the crypto token gained a whole 345% over the past month. However, LRC lost 25% from its $3.75 ATH recorded on 10 November.