Degen Chain, an Ethereum layer-3 blockchain, set a new transaction per second (TPS) record in the previous 24 hours, exceeding its parent network’s 30.81 TPS. According to L2BEAT data, the 68.56% increase resulted in the processing of 3.2 million transactions per day.
Experts warn against relying too heavily on TPS as a scalability statistic, pointing out that it fails to account for transaction complexity. Degen Chain’s success can be due to its Degen (DEGEN) token, which was initially used as a tipping token on Farcaster.
Despite its high TPS, Degen Chain had a low trade volume of $819,600, with an average transaction value of $0.27, contrasting dramatically with Ethereum’s $1,867 and Base’s $170 averages.
The platform now has $4.1 million in locked value, with the DEGEN token’s market capitalization of $345 million. Degen Chain is described as an ultra-low-cost layer 3 blockchain that scales using Arbitrum Orbit and Base’s settlement layer.
Despite its low trading volume, Degen Chain’s success demonstrates the promise of its DEGEN token and revolutionary layer-3 blockchain technology.
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