Optimism Sees Spike In USDC And USDT Transactions Eclipsing $1 Billion

Christian Encila

2 years ago

3 mins read

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Optimism blockchain network has recently noticed an enormous uptick in both USDC and USDT transactions which have eclipsed $1 billion.

What seems to have caught people’s attention is the fact that the Optimism chain seems to be unrivaled and unmoved by the chaos happening in the crypto space.

This is now tagged as an unusual trend because it goes against the current especially with the sudden spike in USDC and USDT.

Here’s a quick glance at how the crypto and network are performing:

OP price down by 1.83%
Metamask provides support for L2 Solutions
User retention rate grew to as much as 34% weekly

Source: Santiment

There seems to have been a convergence given the noticeable connection between the uptick in stablecoins with that of OP’s price performance.

According to CoinMarketCap, OP price is currently up by 0.4% in the last 24 hours, or trading at $0.9348 as of press time.

The USDC and USDT surge is observed to be following a market trend which would ultimately revert back to normal with the price of OP diminishing and with the USDC and USDT prices settling down.

Potential Factors That Cause USDT, USDC Uptick

With the increased activity, people are contemplating on what could have triggered the sudden uptick. One of the possible theories would be Optimism’s impressive Total Value Locked (TVL) as it grew immensely compared to other cryptocurrencies.

Another is the announcement of Metamask wallet providing support for Optimism and other Layer 2 solutions. It has definitely helped increase the awareness and adoption of Layer 2 which can attract more people to shift to the network.

More so, the solution’s recent update on mobile accessibility is also one of the reasons why it has grown in popularity and also because users can easily and conveniently use Optimism via their mobile phones.

Nevertheless, even before the mobile usability update, many users have already started flocking towards OP. Its user base has increased from 24,000 to 80,000 in just three months and the figures are predicted to rise especially with the recent Metamask update.

Crypto total market cap at nearly $772 billion on the daily chart | Chart: TradingView.com

Optimism Keeping Users Loyal

In addition, the escalating number of transactions on the Optimism network is likely due to the uptick in stablecoin transactions. It has been observed that the network isn’t just good with the attraction game but can also keep their users loyal and satisfied. In fact, the retention rate of OP has grown to as much as 34% per week.

A number of dApps are now on Optimism which also caused its TVL to increase to more than $500 million. Although there are occasions wherein the TVL declines, the spikes still outweigh the downtrend.

Christian Encila

They say journalists never truly clock out. But for Christian, that's not just a metaphor, it's a lifestyle. By day, he navigates the ever-shifting tides of the cryptocurrency market, wielding words like a seasoned editor and crafting articles that decipher the jargon for the masses. When the PC goes on hibernate mode, however, his pursuits take a more mechanical (and sometimes philosophical) turn.

Christian's journey with the written word began long before the age of Bitcoin. In the hallowed halls of academia, he honed his craft as a feature writer for his college paper. This early love for storytelling paved the way for a successful stint as an editor at a data engineering firm, where his first-month essay win funded a months-long supply of doggie and kitty treats – a testament to his dedication to his furry companions (more on that later).

Christian then roamed the world of journalism, working at newspapers in Canada and even South Korea. He finally settled down at a local news giant in his hometown in the Philippines for a decade, becoming a total news junkie. But then, something new caught his eye: cryptocurrency. It was like a treasure hunt mixed with storytelling - right up his alley!

So, he landed a killer gig at NewsBTC, where he's one of the go-to guys for all things crypto. He breaks down this confusing stuff into bite-sized pieces, making it easy for anyone to understand (he salutes his management team for teaching him this skill).

Think Christian's all work and no play? Not a chance! When he's not at his computer, you'll find him indulging his passion for motorbikes. A true gearhead, Christian loves tinkering with his bike and savoring the joy of the open road on his 320-cc Yamaha R3. Once a speed demon who hit 120mph (a feat he vowed never to repeat), he now prefers leisurely rides along the coast, enjoying the wind in his thinning hair.

Speaking of chill, Christian's got a crew of furry friends waiting for him at home. Two cats and a dog. He swears cats are way smarter than dogs (sorry, Grizzly), but he adores them all anyway. Apparently, watching his pets just chillin’ helps him analyze and write meticulously formatted articles even better.

Here's the thing about this guy: He works a lot, but he keeps himself fueled by enough coffee to make it through the day - and some seriously delicious (Filipino) food. He says a delectable meal is the secret ingredient to a killer article. And after a long day of crypto crusading, he unwinds with some rum (mixed with milk) while watching slapstick movies.

Looking ahead, Christian sees a bright future with NewsBTC. He says he sees himself privileged to be part of an awesome organization, sharing his expertise and passion with a community he values, and fellow editors - and bosses - he deeply respects.

So, the next time you tread into the world of cryptocurrency, remember the man behind the words – the crypto crusader, the grease monkey, and the feline philosopher, all rolled into one.

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