Key Points
- The Ethereum network has achieved its highest transaction per second (TPS) rate ever, according to L2BEAT.
- Xai, an Arbitrum-based layer 3 game network for Ethereum, contributed nearly half of the total TPS.
Despite the ongoing slump in the crypto market since April, the Ethereum network has been experiencing increased activity, reaching a new milestone recently.
Over the weekend, blockchain analytics firm L2BEAT reported that Ethereum’s scaling networks, including layer 2 and layer 3 blockchains, recorded a combined 246.18 transactions per second (TPS). This equates to an estimated 21.2 million transactions in a single day. TPS is a measure of how many transactions a blockchain network can process in one second. A higher TPS implies that the network can handle more transactions simultaneously, reducing delays and improving overall performance.
This is the first time Ethereum’s scaling solutions have recorded such high TPS since the network’s inception in July 2015.
Ethereum Scaling Achieves New Milestone
L2BEAT’s data suggests that the new milestone was achieved thanks to both layer 2 scaling solutions and layer 3 blockchains, as well as other sidechains designed to enhance the network’s efficiency and scalability.
Almost half of the total TPS were contributed by Xai, an Arbitrum-based layer 3 game network for Ethereum, powered by the XAI token. The protocol, founded by Soban Saqib and developed by Offchain Labs, processed more than 41% of the total TPS.
L2BEAT noted that before reaching the new milestone, Xai had been processing transactions at a slower rate with only one transaction per day as of June 10. However, its TPS continued to improve daily until it finally hit 101.72 TPS on June 16.
With Xai topping the list as the highest contributor, Base and Arbitrum followed closely, taking the second and third positions respectively. Both networks recorded lower TPS of nearly 33 and 21 on Sunday.
L2BEAT also reported that Ethereum’s layer 3 network Proof of Play Apex, which focuses on gaming applications, took the fourth position with 15.96 TPS over the past day.
Performance and Total Value Locked (TVL)
Despite these networks contributing more than other layer 2 scaling solutions and layer 3 chains on Ethereum, some of them have underperformed in terms of total value locked (TVL).
For instance, Xai, which ranked first and contributed the highest TPS, has only $1.38 million locked in TVL. Similarly, Proof of Play Apex, which ranked among the top four chains with the highest TPS in the last 24 hours, has about $695,000 in TVL.
In contrast, Arbitrum One and Coinbase’s Base are the two largest scaling solutions on the Ethereum network in terms of TVL. Both networks boast $18 billion and $7.6 billion in TVL respectively.
