Description of work

In this dashboard, we want to analyze the volume of ETH, USDC, USDT, and DAI that's moved between the Optimism network and the Ethereum network across the bridge.

This dashboard includes the following parts:

a - Definitions

b - Methodology

1. Analyzing the volume of ETH that's moved between the Ethereum and Optimism networks.
2. Analyzing the volume of USDC that's moved between the Ethereum and Optimism networks.
3. Analyzing the volume of USDT that's moved between the Ethereum and Optimism networks.
4. Analyzing the volume of DAI that's moved between the Ethereum and Optimism networks.
5. Conclusion

Definitions

What is Optimism?

Optimism and Arbitrum are Layer 2s scaling solutions for Ethereum that can support all of Ethereum’s Dapps.

Layer 2 refers to a network or technology that operates on top of an underlying blockchain protocol to improve its scalability and efficiency.

Instead of running all computation and data on the Ethereum network, Optimism and Arbitrum put all transaction data on-chain and run computation off-chain, increasing Ethereum’s transactions per second and decreasing transaction fees.

Source: gemini.com, zerocap.com

Optimism Blockchain Explorer

Moving assets between Ethereum and Optimism

There are different ways to move assets between Ethereum and Optimism. You can use the official Optimism bridge or third-party bridges like Hop Protocol, Celer cBridge, etc. But as the official website of Optimism explicitly mentioned: Optimism has no responsibility for their operation.

You can see all bridging apps to move assets between Ethereum and Optimism on Optimism's official website.

• To learn more about bridging between Ethereum and Optimism you can read Optimism docs.

Methodology

Inflows

• To find assets that have bridged from the Ethereum network to the Optimism network, we use transactions in L1→L2 Transactions section in Optimism Blockchain Explorer.

  When a user moves an asset from the Ethereum network to the Optimism network, a transaction with the origin = 0x000000000000000000000000000000000000000 (This address is commonly used by projects to burn tokens (reducing total supply) or mint tokens (increasing total supply))

  and destination = 0x420000000000000000000000000000000007 (L2CrossDomainMessenger) Is done. By tracking these transactions in [optimism.core.fact_event_logs] table, we can find the transferred assets from Ethereum to Optimism.

Outflows

• To find assets that have moved from the Optimism network to the Ethereum network, we use transactions in L2→L1 Transactions section in Optimism Blockchain Explorer.

  When a user moves an asset from the Optimism network to the Ethereum network, the asset is sent to 0x000000000000000000000000000000000000000 (This address is commonly used by projects to burn tokens (reducing total supply) or mint tokens (increasing total supply))

  By tracking these transactions in [optimism.core.fact_event_logs] table, we can find the transferred assets from Optimism to Ethereum.

• In this dashboard, Inflow refers to the transfer of assets from Ethereum to Optimism, and Outflow refers to the transfer of assets from Optimism to Ethereum.
• In the charts, the term "Average Inflow Volume ($) Per Transfer" is summarized, and the term AIVPT is used instead, and the term "Average Outflow Volume ($) Per Transfer" is summarized, and the term AOVPT is used instead

1 - Analyzing the volume of ETH that's moved between the Ethereum and Optimism networks.

✔️Observations

• In August and September 2022, ETH inflows and outflows volume increased sharply.

• In 39% of the transactions related to the moving of ETH from Ethereum to Optimism (Inflow), between 0.01 and 0.1 Ether has been moved from Ethereum to Optimism.

• In 14.8% of the transactions related to the moving of ETH from Ethereum to Optimism (Inflow), between 0.001 and 0.01 Ether, has been moved from Ethereum to Optimism.

• In 66.6% of the transactions related to the moving of ETH from Ethereum to Optimism (Inflow), less than 0.2 Ether has been moved from Ethereum to Optimism.

• In 27.1% of the transactions related to the moving of ETH from Optimism to Ethereum (outflow), between 0.01 and 0.1 Ether has been moved from Optimism to Ethereum.

• In 20% of the transactions related to the moving of ETH from Optimism to Ethereum (outflow), between 0.001 and 0.1 Ether has been moved from Optimism to Ethereum.

• In 16.2% of the transactions related to the moving of ETH from Optimism to Ethereum (outflow), more than 2 Ether has been moved from Optimism to Ethereum.

2 - Analyzing the volume of USDC that's moved between the Ethereum and Optimism networks.

✔️Observations

• From November 2021 to August 2022, USDC inflows and outflows volume was on an uptrend.

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• The highest volume of USDC outflows was recorded on August 2022(143.89M $) and October 22(115.219M $).

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• In 35.8% of the transactions related to moving USDC from Ethereum to Optimism (Inflow), between 500 and 1000 USDC has been moved from Ethereum to Optimism.

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• In 30.8% of the transactions related to moving USDC from Ethereum to Optimism (Inflow), more than 5000 USDC has been moved from Ethereum to Optimism.

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• In 17.2% of the transactions related to moving USDC from Ethereum to Optimism (Inflow), between 100 and 500 USDC has been moved from Ethereum to Optimism.

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• In 57.1% of the transactions related to moving USDC from Ethereum to Optimism (Outflow), more than 5000 USDC has been moved from Ethereum to Optimism.

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• In 20.5% of the transactions related to moving USDC from Ethereum to Optimism (Outflow), between 500 and 1000 USDC has been moved from Ethereum to Optimism.

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• In 6.68% of the transactions related to moving USDC from Ethereum to Optimism (Outflow), between 5 and 10 USDC has been moved from Ethereum to Optimism.

3 - Analyzing the volume of USDT that's moved between the Ethereum and Optimism networks.

✔️Observations

• The highest volume of USDT inflows was recorded on August 2022 (56.09M $) and October 2022 (31.25M $).

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• The outflow volume of USDT in August, September, and October 2022 has significantly increased compared to the previous months.

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• In 37% of the transactions related to moving USDT from Ethereum to Optimism (Inflow), between 500 and 1000 USDT has been moved from Ethereum to Optimism.

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• In 27.7% of the transactions related to moving USDT from Ethereum to Optimism (Inflow), more than 5000 USDT has been moved from Ethereum to Optimism.

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• In 18.7 of the transactions related to moving USDT from Ethereum to Optimism (Inflow), between 100 and 500 USDT has been moved from Ethereum to Optimism.

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• In 27.6% of the transactions related to moving USDT from Ethereum to Optimism (Outflow), between 500 and 1000 USDT has been moved from Ethereum to Optimism.

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• In 26.6% of the transactions related to moving USDT from Ethereum to Optimism (Outflow), more than 50000 USDT has been moved from Ethereum to Optimism.

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• In 12.6% of the transactions related to moving USDT from Ethereum to Optimism (Outflow), between 100 and 500 USDT has been moved from Ethereum to Optimism.

4 - Analyzing the volume of DAI that's moved between the Ethereum and Optimism networks.

✔️Observations

• The inflow volume of DAI in August has significantly increased compared to the other months.

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• The outflow volume of DAI in December 2021, August, and October 2022 has significantly increased compared to the other months.

• In 35% of the transactions related to moving DAI from Ethereum to Optimism (Inflow), more than 5000 DAI has been moved from Ethereum to Optimism.

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• In 34.6% of the transactions related to moving DAI from Ethereum to Optimism (Inflow), between 500 and 1000 DAI has been moved from Ethereum to Optimism.

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• In 14.8% of the transactions related to moving DAI from Ethereum to Optimism (Inflow), between 100 and 500 DAI has been moved from Ethereum to Optimism.

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• In 33.1% of the transactions related to moving DAI from Ethereum to Optimism (Outflow), more than 50000 DAI has been moved from Ethereum to Optimism.

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• In 30.7% of the transactions related to moving DAI from Ethereum to Optimism (Outflow), between 500 and 1000 DAI has been moved from Ethereum to Optimism.

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• In 11.5% of the transactions related to moving DAI from Ethereum to Optimism (Outflow), between 5000 and 50000 DAI has been moved from Ethereum to Optimism.

✔️Observations

• The total inflow volume of ETH equals 0.9B $, which is 2.27 times greater than the total outflow volume of ETH(396M $).

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• The total number of inflow transactions for ETH equals 137.3K, which is 24.28 times greater than ETH's total number of outflow transactions (5660).

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• The average inflow volume per transfer for ETH equals 6.55K $, which is 90.64% less ETH's average outflow volume per transfer(70K $).

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• The highest inflow volume for ETH was recorded on 2022-08-04 (107.511M $), 2022-09-19 (51.736M $), and 2022-08-05(38.254M $).

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• The highest outflow volume for ETH was recorded on 2022-09-07 (60.078M $), 2022-08-18 (37.672M $), and 2022-09-09(18.72M $).

• The highest average inflow volume per transfer for ETH was recorded on 2022-09-19 (251.14K $), 2022-08-04 (215.45K $), and 2022-08-23 (121.3K $).

• The highest average outflow volume per transfer for ETH was recorded on 2022-08-18 (3.424M $), 2022-09-07 (3.16M $), and 2022-01-12 (1.83M $).

✔️Observations

• The total inflow volume of USDC equals 0.993B $, which is 1.99 times greater than the total outflow volume of USDC(4694M $).

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• The total number of inflow transactions for USDC equals 14.5K, which is 12.8 times greater than USDC's total number of outflow transactions (1190).

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• The average inflow volume per transfer for USDC equals 67.7K $, which is 83.68% less USDC's average outflow volume per transfer(415K $).

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• The highest inflow volume for USDC was recorded on 2022-08-05 (81.28M $), 2022-05-30 (53.38M $), and 2022-08-04(40.154M $).

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• The highest outflow volume for USDC was recorded on 2022-10-27 (55.32M $), 2022-06-29 (29.73M $), and 2022-10-18(22.45M $).

• The highest average inflow volume per transfer for USDC was recorded on 2022-05-30 (970.62K $), 2022-08-23 (679.15K $), and 2022-04-05 (506.2K $).

• The highest average outflow volume per transfer for USDC was recorded on 2022-10-27 (7.9M $), 2022-08-18 (6.7M $), and 2022-05-17 (6.61M $).

✔️Observations

• The total inflow volume of USDT equals 142.7M $, which is 2.9 times greater than the total outflow volume of USDT(49.3M $).

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• The total number of inflow transactions for USDT equals 2770, which is 13.92 times greater than USDT's total number of outflow transactions (199).

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• The average inflow volume per transfer for USDTequals 51.5K $, which is 79.2% less USDT's average outflow volume per transfer(247.6K $).

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• The highest inflow volume for USDT was recorded on 2022-08-05 (16.5M $), 2022-08-04 (11.84M $), and 2022-08-06 (11.71M $).

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• The highest outflow volume for USDT was recorded on 2022-09-25 (10.36M $), 2022-10-27 (3.46M $), and 2022-08-09 (3.03M $).

• The highest average inflow volume per transfer for USDT was recorded on 2022-09-11 (700.76K $), 2022-08-05 (550.23K $), and 2022-04-08 (480.98K $).

• The highest average outflow volume per transfer for USDT was recorded on 2022-09-25 (5.018M $), 2022-08-26 (3M $), and 2022-09-05 (1.94M $).

✔️Observations

• The total inflow volume of DAI equals 259.1M $, which is 1.6 times greater than the total outflow volume of DAI (162.4M $).

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• The total number of inflow transactions for DAI equals 2900, which is 4.89 times greater than DAI's total number of outflow transactions (593).

• The average inflow volume per transfer for DAI equals 89.5K $, which is 67.3% less DAI's average outflow volume per transfer(274K $).

• The highest inflow volume for DAI was recorded on 2022-08-04 (35.1M $), 2022-08-05 (27.96M $), and 2022-08-06 (26.71M $).

• The highest outflow volume for DAI was recorded on 2022-08-25 (40.09M $), 2021-12-08 (19.36M $), and 2021-12-06 (11.45M $).

• The highest average inflow volume per transfer for DAI was recorded on 2022-05-25 (650.661K $), 2022-08-08 (625.129K $), and 2022-08-06 (607.196K $).

• The highest average outflow volume per transfer for DAI was recorded on 2021-12-08 (9.68M $), 2022-08-25 (6.68M $), and 2022-08-13 (2.98M $).

Conclusion

In this dashboard, we analyzed the volume of ETH, USDC, USDT, and DAI that's moved between the Optimism network and the Ethereum network across the bridge, and the following results were obtained:

• In all examined tokens, inflow and outflow volume increased sharply in August 2022.

  • The inflow volume increased more in the first days of the month, and the outflow volume increased more in the middle and last days of the month.

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• The number of inflow transactions is much more than the number of outflow transactions.

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• The average outflow volume per transfer is much more than the average inflow volume per transfer.

• The total inflow volume of ETH equals 0.9B $, which is 2.27 times greater than the total outflow volume of ETH(396M $).

• The total inflow volume of USDC equals 0.993B $, which is 1.99 times greater than the total outflow volume of USDC(4694M $).

• The total inflow volume of USDT equals 142.7M $, which is 2.9 times greater than the total outflow volume of USDT(49.3M $).

• The total inflow volume of DAI equals 259.1M $, which is 1.6 times greater than the total outflow volume of DAI (162.4M $).