Author: arndxt, Threading on the Edge; Translation: Jinse Finance xiaozou
I have penetrated the layers of Superchain. My eyes, which were once obscured by the fog, now see clearly through the fog that this network is different from other networks. It is completely different from other chains. It is a flower that blooms from the soil of innovation.
If you are someone who has no experience in this area, please join me on the journey of Superchain now... Let's explore its origins and the forces that drive its rise:
Ethereum's L2 field used to be a constellation of isolated stars - Arbitrum, Polygon, zkSync, etc. - each star illuminated its own corner of the universe. Developers were pulled in multiple directions, dispersing resources and diluting network effects. This fragmented ecosystem has led to challenges in interoperability, liquidity fragmentation, and a steep learning curve for developers to adapt to different protocols.
L2 solutions were developed to enhance Ethereum’s scalability by offloading transaction processing work from the main chain. This has enabled lower gas fees and higher throughput, effectively increasing the available block space for decentralized applications (DApps). However, the rapid expansion of different L2 solutions has led to fragmentation issues, where applications on separate L2s cannot effectively communicate or share liquidity.
Fragmentation is an obstacle to scaling and user adoption, with limited potential for unified growth. Users are confused when switching between different platforms, while developers struggle to maintain compatibility between different systems.
In this maze, Optimism launched OP Stack, a modular open source framework designed to coordinate these different layers and inject cohesion - Superchain. Superchain’s mission is to transform isolated scaling solutions into a unified ecosystem where developers can build seamlessly.
OP Stack modularity supports shared standards and interoperability, greatly reducing development time and forming a collaborative environment. By providing a common foundation, it promotes accelerated innovation and simplifies the cross-platform user experience.
Previously isolated projects on each L2 can now interoperate effortlessly, enabling enhanced functionality and expanding the user base without compromising security or efficiency.
Coinbase launched Base, an L2 network based on OP Stack. With its lightning-fast transactions and lowest fees, Base quickly became a magnet for decentralized applications (dApps) and developers. Its integration with Coinbase's extensive user base provides an entry point for millions of people to enter the Superchain ecosystem.
The rapid adoption of Base highlights the power of institutional support combined with innovative technology. By leveraging Coinbase’s reputation and resources, Base demonstrates how strategic partnerships can accelerate network effects within Superchain.
Popular dApps have migrated to Base to take advantage of its performance and user coverage, increasing trading volume and a surge in active users within Superchain.
Decentralized exchange giant Uniswap recognized the appeal of Superchain and launched Unichain, a rollup specifically designed to serve as Superchain’s liquidity center. With a cumulative trading volume of over $1 trillion and a large user base, Uniswap’s move marks a key shift toward ecosystem integration.
The issue of liquidity fragmentation has always been a challenge for DeFi. By integrating liquidity within Superchain, Unichain improves capital efficiency and reduces slippage for traders. This move not only benefits Uniswap, but also strengthens Superchain by centralizing financial activities.
Traders experience improved price stability and reduced transaction costs, while liquidity providers receive better returns due to increased trading activity on Unichain.
Led by OpenAI CEO Sam Altman, Worldcoin deployed World Chain on Superchain. Designed to verify the identities of millions of unique address users, World Coin is the most ambitious Web3 identity verification system to date.
Identity verification is critical to compliance and user trust in decentralized networks. The integration of World Chain provides a scalable solution for proof of personhood, supporting secure, private and verifiable identities. This advancement enhances the security of dApps and fosters user confidence.
Applications that require identity verification, such as decentralized financial platforms and voting systems, benefit from seamless integration with World Chain, reducing fraud while increasing user engagement.
Kraken announced the launch of its own L2 solution, Ink, based on the OP Stack. Ink positions itself as a direct competitor to Base, but both benefit from Superchain's rapidly growing influence.
The entry of major exchanges such as Kraken into the L2 field has made competition more intense, but it has also contributed to the reliability of Superchain. Ink aims to leverage Kraken's extensive user base and industry expertise to drive adoption and innovation within the ecosystem.
Kraken's integration allows users to easily transition between exchange trading and DeFi activities on Ink, enhancing user engagement and ecosystem liquidity.
Superchian has not only attracted key players, it has become the gravitational center of the Ethereum L2 universe. While Optimism may lag behind Arbitrum and Polygon in terms of TVL, the combined strength of Superchian participants is enough to eclipse their competitors.
Base has driven the explosive growth of new addresses, especially in September 2024, when nearly 20 million new addresses were added. This trend highlights Base’s role as the main portal for Superchain, which may benefit from its user-friendly access and Coinbase’s brand influence.
Superchain has over 100 million unique addresses, with Base being the main contributor. This steadily upward trend highlights the growing adoption rate and Superchain’s success in attracting a diverse and active user base. However, this suggests that user growth is dependent on Base, meaning that other chains may need to offer unique products or services to have similar appeal.
The number of active users peaked at 20 million in September, mostly on Base. This suggests high daily engagement, positioning Base as the central hub for interaction within Superchain. The relatively low activity of Optimism suggests that most user stickiness is concentrated on Base rather than other Superchain networks.
Base has consistently led Optimism in terms of daily ETH transfer volume, with a peak of 14 million transfers in August. This trend suggests that Base is the preferred chain for ETH transactions, likely because Base's lower fees and fast processing speed make it attractive for high-frequency trading.
This unfolding story is so thought-provoking and transformative that I believe we are witnessing the beginning of a new era in blockchain technology. Here are my thoughts:
Optimism Superchain is a shift from competition to cooperation. The alliance of giants such as Coinbase, Uniswap and Kraken under a shared framework heralds the arrival of a new era of collaborative innovation.
Superchain effectively leverages network effects to create a feedback loop that amplifies value for all participants. This synergy makes traditional siloed approaches obsolete.
Optimism’s mission of “forking capitalism” resonates deeply. By aligning cross-chain incentives through revenue sharing and open governance, Superchain reimagines how value is created and distributed.
Projects like World Chain are expanding more than just technology. They are using blockchain to expand the human interface. Attracting the next wave of 100 million users is no longer a distant prospect, but a reality that is about to become a reality.
To ground this exploration in visible data, let’s dive into key metrics that point to Superchain’s dominance:
● Ecosystem Growth Rate: Superchain’s development activity grew 200% year-over-year.
● Interoperability Milestone: Superchain’s internal cross-chain transaction confirmation time was reduced by 30%, greatly enhancing the user experience.
● Economic Alignment: The revenue sharing model has already injected more than $50 million into the Optimism network through participating chains, driving further development.
● Security Enhancement: The modular OP Stack enables rapid deployment of security upgrades, with 40% fewer vulnerabilities than isolated L2 solutions.
● User adoption: The Superchain network has achieved a growth of 1 million users in the last quarter alone in terms of cumulative users.
All of these developments are happening faster than I expected. We have peeled off layers of complexity and are now standing at a new frontier - a unified, scalable, and inclusive Ethereum ecosystem. Superchain is the renaissance of decentralized technology.
While Superchain is the undeniable leader in today's L2 expansion solutions, there is still a long way to go. The blockchain field is constantly evolving, and new innovations will emerge in an endless stream. However, as Superchain's network effect continues to expand, its appeal will make it increasingly difficult for other alternative solutions to divert innovation flows and user adoption.
Optimism's strategic alignment in technology, philosophy, and economic incentives not only sets the pace, but also redefines the game.
Russia plans a potential ban on cryptocurrencies, aiming to protect its national currency, the ruble, while accommodating certain exemptions for entities like miners. The proposed legislation reflects a compromise between differing government opinions, prioritising regulatory control over broader crypto adoption.
AnaisStablecoins safeguard against market swings, backed by fiat or crypto, and maintain liquidity even amidst economic downturns, dominating 8.42% of the crypto market.
MiyukiIn collaboration with Meta Akita Inc., and a Heirloom Inc., the Akita Inu Preservation Society has spearheaded the creation of an innovative platform for distributing digital pedigree certificates.
KikyoGlobal regulators, including Thailand's SEC, target deceptive crypto advertisements, implementing stringent guidelines to safeguard investors and deter fraudulent activities.
WeiliangElon Musk's transformation of Twitter into the "everything app" X includes integrating cryptocurrency for seamless financial transactions, but faces regulatory challenges in Australia due to content issues, shaping the future of social media and finance.
WeatherlyNoyb files a complaint against OpenAI for failing to correct inaccurate ChatGPT outputs, questioning the compliance of AI with EU privacy laws.
AlexThai authorities recently raided illegal crypto mining operations in two provinces, seizing devices worth $5 million and arresting three suspects for power theft.
MiyukiAs Tesla's stock price soars due to optimistic news from China, U.S. stock index futures rise slightly. Looking ahead, traders will shift their focus to the Federal Reserve's rate decision, the monthly employment report, and more earnings reports from the "Big Seven" tech giants. Given that the Fed has indicated that it will keep rates high for a longer period, tension is apparent in the cryptocurrency market.
AlexHuaxia, Bosera, and Harvest Bitcoin Spot ETFs have debuted and begun trading on the Hong Kong Stock Exchange.
MiyukiGold and Bitcoin weakened, with significant volatility in USD/JPY, all pointing to actions by the Federal Reserve as the root cause.
Weiliang