Bitcoin wrapped pools are now available on the Layer-2 DEX Loopring.
Gas costs have fallen to around $ 11.50 on average.
The LRC token rose 1.5% on the day, as yield farms continue
Loopring , one of the most popular decentralized exchanges in the industry, has expanded its trading options with the addition of three bitcoin wrapped (wBTC) pools on Layer-2.
In a tweet stating that the exchange has not had Bitcoin trading pairs for a long time, Loopring announced the launch of four new pools for BTC wrapped on Layer-2 (L2).
Traders who use this DEX now have access to wrapped bitcoins, three stablecoins ( DAI , USDC and USDT ), automated market maker pools (AMMs) and order book pairs.
The total amount of Bitcoin tokenized on Ethereum for use in Decentralized Finance ( DeFi ) is just under 171,000 BTC. Its value is estimated at $ 8 billion at current prices. Of that total, around 72% are WBTCs, according to BTConEthereum .
Ethereum Layer-2 usage surges sharply
Loopring, which launched gas-free L2 to L1 transfers in mid-January, uses zk-rollups on Ethereum to offer high-speed, low-cost transactions. Its throughput can reach 2,000 transactions per second, without sacrificing Layer-1 security.
Layer-2’s scaling technology makes it possible to process batches or “rollup” transactions out of the main chain, but secures them thanks to “zero knowledge” proof. These solutions and other rollup functions like Optimistic have become increasingly popular as Ethereum’s Layer-1 battles heavy loads and gas costs .
Seeing a drop in gas costs, Loopring suggested that maybe now is the time to move some ETH to Layer -2 DEXs in anticipation of the next peak.
Gas costs have calmed down in recent days and have returned to a certain state of normalcy, with the average transaction now costing $ 11.50 according to BitInfoCharts . It’s still higher than it should be, but it’s a huge improvement over the $ 50 fee traders paid on gas last week.