Chart of the Day
The broader market is bouncing back as Evergrande fears subside. Altcoins, in general, are outperforming BTC and ETH, with leaders such as SOL and LUNA up as high as 25%. While L1 tokens thrive on new liquidity programs, L2s have not lost steam to the recent sell-off. The overall gas consumption of L2 solutions currently makes up more than 1% of total daily gas on Ethereum, proving that L2s are gaining traction. However, gas consumption alone is not an indicator of success. After all, what we are looking for in an optimal L2 solution are high throughput and an efficient on-chain footprint. Meanwhile, the chaotic launch of TIME magazine NFTs has sent gas fees soaring as high as 10 ETH per transaction — another reminder of the imperative of solving network congestion.
Talk of the Town
Tip-Bit. Twitter has become the first major social network to encourage the use of cryptocurrency as a method of payment by enabling Bitcoin tipping for iOS users earlier today. The tips function is powered by the Lightning Network, an L2 scaling solution that saw a 160% increase in capacity since January this year. Bitcoin tipping is only the beginning of Twitter’s crypto plan. The company is also planning to support the authentication of NFTs by connecting users’ wallets to their accounts to prove their ownership.