Scroll’s TVL Surpasses $1 Billion, Outperforming All Other Ethereum Layer 2s

Scroll’s total value locked (TVL) has surged past $1 billion, outpacing all other Ethereum Layer 2 (L2) solutions.

The impressive growth has seen Scroll’s TVL more than double in the past month, rising from $435 million on June 15 to over $1 billion, according to data from DeFiLlama.

During the same period, other L2s have lagged: Base’s TVL increased by only 4%, Blast’s fell by 42%, and Linea’s saw a modest 3% rise.

Airdrop Farming Drives Scroll’s Growth

A significant driver behind Scroll’s rapid ascent is the phenomenon of airdrop farming.

As one of the few major L2s without a native token, Scroll has attracted users keen on earning future rewards.

The network launched its points program on April 17, introducing “Marks,” which users could earn by bridging assets onto the chain during the initial “Session Zero.”

On June 21, Scroll transitioned to Session One of the points program, offering Marks to users who deposit assets into specific protocols on the network, including Ambient and Nuri.

The team emphasized the value of these points with the formula “Marks = Value x Action x Time,” encouraging sustained engagement with the platform.

Marks = Value x Action x Time

✔️ Value: The more of each asset you bring to Scroll, the more Marks you receive
✔️ Action: The more valuable your activities are to the network, the more Marks you receive
✔️ Time: The longer you stick to these actions, the more Marks you receive

— Scroll 📜 (@Scroll_ZKP) June 21, 2024

Scroll, a zkEVM Layer 2 scaling solution, launched its mainnet in October 2023.

The project has secured $80 million in funding from multiple rounds led by Polychain Capital, bringing its valuation to $1.8 billion.

While the points program has significantly boosted user activity, Scroll is not the only L2 employing such tactics.

Both Base and Linea are speculated to launch native tokens, with their own ongoing points programs.

Linea awards LXP points to users contributing TVL to the chain and its ecosystem, while Base has introduced a points and badges initiative as part of its “Onchain Summer” campaign.

Despite recent underperformance of newly launched tokens from other L2s, Scroll continues to attract users.

The launch of Blast and ZkSync tokens in June saw both drop nearly 40% from their opening prices.

In contrast, Scroll’s ecosystem has thrived, with Pencils Protocol and Nuri Exchange emerging as two of the fastest-growing protocols.

Pencils offers a yield aggregation platform, while Nuri operates as a decentralized exchange (DEX).

Buterin Voices Concern About Complex Layer 2 Solutions

More recently, Ethereum co-founder Vitalik Buterin voiced his concerns regarding overly complicated Layer 2 scaling solutions.

At the time, the Ethereum mastermind highlighted the potential risks associated with complex Layer 2 networks and urged for a more balanced approach in the development of blockchain ecosystems.

In the blockchain community, there is a prevailing belief that Layer 1 networks should prioritize simplicity to minimize the risk of critical bugs and attack vectors.

Consequently, the responsibility for handling more complex features falls upon Layer 2 networks, which are designed to provide scaling solutions.

These networks bundle transactions executed on a separate network and submit them in batches for validation on Layer 1, enhancing throughput and reducing transaction fees.