Introduction

In this analysis, we look at user behavior on Optimism compared to user behavior on Ethereum.

Optimism, is one of the early “L2” (“layer 2”) chains or “rollups”.

Users on the Optimism blockchain enjoy much lower transaction fees and quick transactions, while still being able to rely on the security of the Ethereum “Mainnet”.

The level of adoption is at a very early stage and, unsurprizingly, transaction volumes and total transactions are lower. What is somewhat surprising is the extent of the differences

• The extent of the differences in transactions and volume
• The differences in the size of an average transaction, while also expected, is equally dramatic.

Below, we present side by side charts of daily user, transaction, volume and price data, which help illuminate these and other differences, including trends.

Definitions and Methodology

In gathering our findings, we used two tables from each of the Flipsidecrypto schemas representing Optimism and Ethereum. The tables are constructed using the same columns. We also limited our data to the past three months.

These tables are:

1. sushi.ez_swaps

2. core.fact_transactions

We looked at swap data from Sushiswap on each blockchain. It is important to keep in mind that an unknown, but certainly not insignificant factor is a reflection on behavior specific to the differences between the Sushiswap Dexes. We feel confident that one would see pretty similar overall results, but that is something that still needs to be explored.

• Swap Volume — The number of transactions times the value of the transactions. (again this is all exclusively SushiSwap data)

• Average Volume Swapped — The average volume swapped per transaction.

• Daily Active Users (DAU) — Number of unique users who initiated a swap transaction that day.

• Per Capita Volume — Average volume traded per DAU

  
  The rest of the terms are self explanatory.

  \

Optimism

Ethereum

Optimism

Ethereum

Swap Volume

Comparing swap volume between Optimism and Ethereum is a bit like comparing a penny ante poker game to the World Series of Poker. The daily volume on Ethereum averages around 30 times as much.

At a glance it would seem that the volumes are well correlated with each other and with price movement of ETH.

Daily Active Users (DAUs)

Comparing the numbers of active users is a bit like comparing New York City with a small farm community in Kansas.

Averaging 60 times as many users, DAUs range, for the most part, between 2500 and 4000 on Ethereum. Meanwhile, Optimism has had six days with over 100 DAUs.

These side by side charts do seem to signal a trend away from Ethereum towards Optimism as, especially in the past month or so, Optimism user activity is increasing, whereas the opposite can be said about Ethereum.

Per Capita Volume

I expected a lower amount spent per swap but I did not expect this dramatic of a difference in terms of amount transacted per user. I expected that most of the discrepancy would just be in the adoption rate and hence, a much larger number of transactions. Not so.

the average user is spending around 150 bucks on Optimism compared to ~ 7k on Ethereum.

Total Transactions

Comparing total transactions is a little bit like comparing a flea market to the New York Stock Exchange.

Again we see an increase in interest in Optimism and a decline in Ethereum, suggesting that slowly but surely, perhaps, there is a migration from L1 to L2. This is nowhere near conclusive, as this could be a reflection on Sushiswap and other factors.

Transactions per User.

Here Optimism gets to outscore Ethereum. Likely this is due to significantly lower transaction fees, incenvitizing degenrate activity.

Total Transaction Fees

Comparing the revenue of the blockchains is like … well you get the idea.

Again we have to keep reminding ourselves that we are comparing the volume of activity on the two respective SushiSwap DEXes.

On the other hand, comparing the average tx fee for a user, we are looking at about 25 cents compared to between seven and eight bucks.

These fees may seem negligible to the Ethereum whale (and to the meager ‘optimist’ all Ethereum users are whales) but paying 7 or 8 USD (and we all know this can climb a lot higher at times) is a significant chunk to be paying on a 150 dollar investment.

Conclusion

• While the entire crypto industry is still in its infancy, Optimism is clearly far behind in terms of swap volume.
• Depending on choice of metric, the difference in size ranges from 30 to 60 times as large.
• The average user on Optimism transacts about 70% more frequently than their Ethereum counterparts.
• There appears to be an increase in usage on Optimism compared to a decrease on Ethereum.
• The discrepancy in volume can be attributed both to the total number of users and to the average size of a user transaction

Thanks for reading!