Introduction

What is Hop Protocol?

Hop is a scalable rollup-to-rollup general token bridge. It allows users to send tokens from one rollup or sidechain to another almost immediately without having to wait for the networks challenge period.

It works by involving market makers (referred to as Bonder) who front the liquidity at the destination chain in exchange for a small fee.

Methodology

• Data collected for the 6 months prior to 2022-06-22 (inclusive)

• Flipside tables used:

  • ethereum.core.ez_eth_transfers
  • ethereum.core.ez_token_transfers

• Bridged transactions were identified by the unique origin_function_signature = '0xdeace8f5'. This signature corresponds to the 'SendToL2' function present on all Hop Bridge Contracts

• For the weekly new wallets breakdown only the first transaction of each address is counted

(eg. If one wallet bridges on week 1 and 2 it is only accounted as a new wallet in week 1 and disregarded in week 2)

Data Analysis

- How many unique users have bridged to L2s using Hop?

• A total of 36137 unique addresses have used HOP Protocol to bridge L1 assets to L2's in the last 6 months.

Conclusion

• HOP protocol has seen a steady increase of new users in the past 180 days.
• These new users tend to do 1 single bridge from Mainnet to other L2's.
• USD value of the bridged assets have had a steady flow in the last 180 days

Although

Appendix

- Table 1

• Amount of bridge transactions performed by wallet

- 'origin_function_signature' details

• sendToL2 function details:

  • MethodID: 0xdeace8f5

  • Function: sendToL2(uint256 chainId, address recipient, uint256 amount, uint256 amountOutMin, uint256 deadline, address relayer, uint256 relayerFee)

Contact data

Twitter: FlyingF10008701

Discord: FlyingFish#8179

- What days in the past 6 months have seen the most volume bridged, and were there any specific events that may have driven these spikes?

An average of $3.4M has been bridged to L2's using the HOP protocol.

The spikes in volume are well distributed along the 180 days this analysis includes. Jan 20th and June 1st can be identified as true outliers in volume bridged.

The impact of the Arbitrum Odyssey is not reflected on the volume bridged.

As there is no minimum ETH amount to be qualified it seems users are bridging small amounts just to be eligible for the airdrop.

- Which assets have been bridged the most?

HOP Protocol users have bridged a total of $612M into other L2's.

Note: USD value was calculated at the time of the bridge transaction and does not reflect the current USD value of the assets bridged.

Note: Another way to get HOP bridge transactions would be to filter for the individual HOP contract addresses for each asset. The approach used allows for future flexibility in the case HOP adds new assets and yields the same results. The contract addresses found on all included transactions were double checked and match the HOP contracts mentioned on the HOP doc's and are shown on Table 3 in the Appendix.

• There has been an average of 1300 new weekly wallets interacting with the HOP protocol with .
• The start of the Arbitrum Odyssey on June 21st at 17PM UTC has created a huge influx of new HOP users looking to enter the future Arbitrum Airdrop. As a result, in only 2 days, this week has already surpassed the previous top week and has already surpassed 10k new addresses.
• Previous top week was on May 30th with 3440 new addresses.

• User activity

To get a sense of how active users are using the HOP bridge the amount of HOP transactions performed by each address was counted and the data clearly shows that the large majority of wallets (~75%) has only performed 1 bridge transaction using the HOP protocol.

Additional analysis should be made on the average amount of each transaction but it seems there is a one-and-done type of activity from HOP users, that will likely increase as users seek to reap rewards from the Arbitrum airdrop.

- Table 2

• Total value bridged to L2's by HOP users in the last 180 days

As expected ETH has been the most bridged asset from Ethereum to other L2's with almost 65% of the total USD value bridged.

The ETH dominance, in USD value bridged, has been continuous week by week with USDC being the 2nd most bridged asset.

One other option would have been to filter the fact_Event_log for transactions with a TransferSentToL2 event (topic: 0x0a0607688c86ec1775abcdbab7b33a3a35a6c9cde677c9be880150c231cc6b0b), but the event logs don't directly identify the token being bridged. The distinction between tokens would have to be made by the contract being used.

The option used ends up simpler as it makes use of the 'symbol' and 'amount_usd' columns present in the ez_eth_transfers and ez_token_transfers.

- Table 3

• Unique Contract addresses found with the filter origin_function_signature = '0xdeace8f5'