Ethereum Layer 2 TVL Sets a New All-Time High at $47 Billion

The total value locked (TVL) of Ethereum Layer 2s have reached a historical record of $47 billion.

According to the data posted by L2BEAT, the current TVL of all canonically bridged, externally bridged, and natively minted tokens on Ethereum Layer 2 networks is $47.45 billion, setting a new all-time high.

Breaking down by networks, Arbitrum One leads the ranking and has a TVL of $19.3 billion. OP Mainnet comes the second with $7.88 billion. Base is ranked the third with $6.94 billion TVL.

Other blockchains with a TVL exceeding $1 billion include Blast, Mantle, Linea, and Starknet. L2BEAT indicated that the total value locked of all L2s has increased by 17.39% in the past seven days.

Spot Ethereum ETFs Drive Growth

The bullish trend was primarily motivated by the U.S. Securities and Exchange Commission’s (SEC) recent approval of the spot Ethereum exchange-traded funds (ETFs).

On May 23, the SEC approved the Ethereum ETF applications filed by a total of eight issuers, marking the second spot digital asset ETF in the country, following the spot Bitcoin ETFs approved in January.

The issuers included BlackRock, Fidelity, Grayscale, Bitwise, VanEck, Ark, Invesco Galaxy, and Franklin Templeton. They are yet in the process of submitting S-1 forms, as the timeline remained uncertain while analysts expected launch within weeks.

Next Upgrade Pectra Scheduled for Q1 2025

In addition, the Ethereum core developers have decided that Pectra, the next major upgrade of the Ethereum network, will be launched in the first quarter of 2025.

After this, we spent most of the remaining time on the call discussing how we should approach scoping Pectra. @gakonst had shared a doc ahead of time detailing Reth's views: https://t.co/CXBgGcaY54

— timbeiko.eth (@TimBeiko) May 23, 2024

The community choose Q1 2025 so the developers could avoid debugging during Devcon and the holiday season. This schedule would also allow the contributors to extensively test the upgrade and handle the transition.

For the consensus client “CL,” the upgrade will include PeerDAS to increase the network’s data availability. For the execution client “EL,” Pectra is planned to include EOF, replace EIP3074 with EIP7702, and patch EIP2935.